Consumer Advisory Board

The CFPB has published a notice in the Federal Register announcing that a meeting of its Consumer Advisory Board will be held on March 2, 2017.  The notice indicates that the Board will discuss the consumer credit information marketplace, CFPB enforcement actions, trends and themes in consumer financial markets, and enhancements to the CFPB Consumer Complaint Database.

The discussion of the consumer credit information marketplace will likely involve the CFPB’s November 2016 request for information regarding market practices related to consumer access to financial information.  The RFI included a discussion of current market practices in connection with consumer-permissioned access to account information, including the role of account aggregators in transmitting consumer data.

The discussion of CFPB Consumer Complaint Database enhancements will likely involve the CFPB’s proposal to add a survey to its current complaint intake form that a consumer can elect to complete to provide feedback on the company’s response to his or her complaint.

The CFPB has published a notice in the Federal Register announcing that it is seeking applications from persons interested in becoming members of its Consumer Advisory Board (Board), Community Bank Advisory Council (CBAC), or Credit Union Advisory Council (CUAC).  Appointments to the Board are typically for three years and appointments to the CBAC and CUAC are typically for two years. 

Membership in the Board is open to persons with expertise in consumer protection, financial services, community development, fair lending and civil rights, and consumer financial products or services, and representatives of depository institutions that primarily serve underserved communities, and representatives of communities that have been significantly impacted by higher-priced mortgage loans.  The notice indicates that “expertise” depends, in part, on “the constituency, interests, or industry sector the nominee seeks to represent, and where appropriate shall include significant expertise as a direct service provider to consumers.”  Dodd-Frank directs the CFPB to seek Board members who represent the interests of industry and consumers. 

Membership in the CBAC is open to individuals (1) with similar expertise or who represent community banks that primarily serve underserved communities or communities that have been significantly impacted by higher-priced mortgage loans, and (2) who are current employees of banks and thrifts with total assets of $10 billion or less that are not affiliates of depository institutions or credit unions with total assets of more than $10 billion.

Membership in the CUAC is also open to individuals (1) with similar expertise or who represent credit unions that primarily serve underserved communities or communities that have been significantly impacted by higher-priced mortgage loans,  and (2) who are current employees of credit unions with total assets of $10 billion or less that are not affiliates of depository institutions or credit unions with total assets of more than $10 billion.

The CFPB states that it has a special interest in ensuring that women, minority groups and individuals with disabilities are adequately represented on the three advisory groups.  It further states that because it also has a special interest in establishing a Board that is represented by diverse viewpoints and constituencies, the CFPB encourages applications for Board membership from candidates who represent U.S. geographic diversity and the interests of special populations identified in Dodd-Frank such as servicemembers and older Americans.

Applicants for the positions must submit a complete application package on or before March 1, 2017 to be considered for membership.  (The application will be available online on January 16, 2017.)  The CFPB expects to announce new members in August 2017.

The CFPB has published a notice in the Federal Register announcing that a meeting of its Consumer Advisory Board (CAB) will be held on October 27, 2016.

The notice indicates that the CAB will discuss “student loan servicing issues and trends and themes in debt collection.”  Presumably, the student loan servicing issues will include servicers’ handling of partial payments, which was the subject of a recent CFPB blog post, and the Department of Education’s recent announcements concerning student loan servicing.  The debt collection discussion can be expected to include the debt collection proposals that the CFPB is considering, which it outlined in July 2016 in anticipation of convening a SBREFA panel.

 

The CFPB has announced the appointment of new members to its Consumer Advisory Board, Community Bank Advisory Council, Credit Union Advisory Council, and Academic Research Council.  In January 2016, the CFPB published a notice in the Federal Register soliciting applications from individuals interested in becoming members.

According to the CFPB, the new members “include experts in consumer protection, financial services, community development, fair lending, civil rights, consumer financial products or services, representatives of community banks and credit unions, and scholars with relevant methodological and subject matter experience.”  New Consumer Advisory Board and Academic Research Council members will serve three-year terms and new Community Bank and Credit Union Advisory Councils members will serve two-year terms.

The new members are as follows:

Consumer Advisory Board Members

  • Lynn Drysdale, Managing Attorney, Consumer Law Unit, Jacksonville Area Legal Aid, Inc., Jacksonville, FL
  • Paulina Gonzalez, Executive Director, California Reinvestment Coalition, San Francisco, CA
  • William Howle, Head of U.S. Retail Bank, Citibank, New York, NY
  • Ruhi Maker, Senior Attorney, Empire Justice Center, Rochester, NY
  • Arjan Schutte, Founder and Managing Partner, Core Innovation Capital, Los Angeles, CA
  • Lisa Servon, Professor, The New School, New York University, New York, NY
  • Raul Vazquez, Chief Executive Officer, Oportun, Redwood City, CA
  • James M. Wehmann, Executive Vice President, Scores for Fair Isaac Corporation, Roseville, MN
  • Chi Chi Wu, Staff Attorney, National Consumer Law Center, Boston, MA

Community Bank Advisory Council Members

  • Melissa A. Ballard, Vice President and Director, First Iowa State Bank, Albia, IA
  • Menzo D. Case, President and Chief Executive Officer, Generations Bank, Seneca Falls, NY
  • Linda Feighery, Vice President and Community Reinvestment Act /Fair Lending Officer for Citywide Banks, Denver, CO
  • Brenda K. Hughes, Senior Vice President and Director of Mortgage and Retail Lending, First Federal Savings Bank of Twin Falls, Twin Falls, IA
  • Dion Kidd Johnson, President, Chief Operating Officer and Chief Risk Officer, Western Bank, Alamogordo, NM
  • Cal Ratcliff, Senior Vice President, Chief Compliance Officer, Bank of North Carolina, High Point, NC
  • Trent Sorbe, President, Central Payments Division, Central Bank of Kansas City, Kansas City, MO

Credit Union Advisory Council Members

  • Faith Lleva Anderson, Senior Vice President and General Counsel, American  Airlines Federal Credit Union, Fort Worth, TX
  • Daniel Berry, Chief Executive Officer, Duke University Federal Credit Union, Durham, NC
  • Patrick F. Harrigan, Chief Risk Officer and General Counsel, Service Credit Union, Portsmouth, NH
  • Ricardo Ledezma, Corporate Compliance Assurance Manager, San Antonio Federal Credit Union, San Antonio, TX
  • Sarah Marshall, Chief Executive Officer, North Side Community Federal Credit Union, Chicago, IL
  • Dayatra T. Matthews, Senior Vice President of Legal & Compliance, Local Government Federal Credit Union, Raleigh, NC
  • Amy Nelson, Chief Executive Officer, Point West Credit Union, Portland, OR
  • Raynor Zillgitt, Vice President Risk Management and General Counsel, Lake Trust Credit Union, Brighton, MI

Academic Research Council Members

  • Ian Ayres, William K. Townsend Professor, Yale Law School, New Haven, CT
  • Brigitte Madrian, Professor, Harvard University, Cambridge, MA

Both Professor Madrian and Professor Ayres hold a Ph.D. in economics.  According to her profile on the website of Harvard’s Kennedy School of Government, Professor Madrian’s current research is focused on “behavioral economics and household finance, with a particular focus on household savings and investment behavior.”  Professor Madrian’s research focus fits within the CFPB’s orientation towards the use of behavioral economics, an economic theory that has been playing a central role in the CFPB’s regulatory and enforcement agenda.  The CFPB seems reluctant to include neo-classical economists who do not subscribe to behavioral economics on its Academic Research Council.

Director Cordray has described Professor Ayres as having “deep experience in analyzing discrimination.  He also had been engaged in careful study of economic and legal issues related to consumer finance.”  Based on our review of Professor Ayres’ CV on the Yale Law School website, it appears he has written extensively on issues relating to gender and race discrimination, including discrimination in auto sales.  A 2014 article in the Michigan Journal of Race and Law described Professor Ayres as having spent much of his career “empirically documenting race and gender discrimination, including in the context of consumer purchasing.”

The CFPB has published a notice in the Federal Register indicating that it will hold a meeting of its Consumer Advisory Board on June 9, 2016 in Little Rock, Arkansas.  The topics to be discussed at the meeting are “an auto lending education initiative, trends and themes, and payday lending.”  Since the CFPB is expected to issue its proposed payday lending/auto title loan rule in conjunction  with its field hearing on small dollar lending on June 2, 2016, the discussion of payday lending at the meeting will presumably include a discussion of the proposed rule.

 

 

The CFPB will hold a meeting of its Consumer Advisory Board in Washington, D.C. on February 25, 2016.  According to the meeting agenda, there will be morning session on the CFPB’s strategic outlook, with the speaker to be Chris D’Angelo, Chief of Staff, Office of the Director.

The topic for the afternoon session is measuring financial well-being, with the speakers to be Janneke Ratcliffe, Assistant Director, Financial Education, and Genevieve Melford, Senior Financial Education Research Analyst, Financial Education.  This past December, the CFPB issued a new guide for financial educators containing a 10-question scale to measure “financial well-being” and instructions for scoring a consumer’s responses and interpreting scores.

The CFPB has published notices in the Federal Register announcing that it is seeking applications from persons interested in becoming members of its Academic Research Council (ARC), Consumer Advisory Board (Board), Community Bank Advisory Council (CBAC), or Credit Union Advisory Council (CUAC). Appointments to the ARC and Board are typically for three years and appointments to the CBAC and CUAC are typically for two years.

The ARC currently has six members and the CFPB is seeking to fill three additional seats.  The CFPB seeks “tenured academics with a world class research and publishing background, and a record of public or academic service.”  Applicants should be “prominent experts who are recognized for their professional achievement and objectivity in economics, statistics, psychology or behavioral science.”  In particular, the CFPB is looking for “academics with strong methodological and technical expertise in structural or reduced form econometrics, modeling of consumer decision-making, behavioral economics, experimental economics, program evaluation, psychology, and financial choice.”

Membership in the Board is open to persons with expertise in consumer protection, financial services, community development, fair lending and civil rights, and consumer financial products or services, and representatives of depository institutions that primarily serve underserved communities, and representatives of communities that have been significantly impacted by higher-priced mortgage loans.  The notice indicates that “expertise” depends, in part, on “the constituency, interests, or industry sector the nominee seeks to represent, and where appropriate shall include significant expertise as a direct service provider to consumers.”  Dodd-Frank directs the CFPB to seek Board members who represent the interests of industry and consumers.

Membership in the CBAC is open to individuals (1) with similar expertise or who represent community banks that primarily serve underserved communities or communities that have been significantly impacted by higher-priced mortgage loans, and (2) who are current employees of banks and thrifts with total assets of $10 billion or less that are not affiliates of depository institutions or credit unions with total assets of more than $10 billion.

Membership in the CUAC is also open to individuals (1) with similar expertise or who represent credit unions that primarily serve underserved communities or communities that have been significantly impacted by higher-priced mortgage loans,  and (2) who are current employees of credit unions with total assets of $10 billion or less that are not affiliates of depository institutions or credit unions with total assets of more than $10 billion.

The CFPB states that it has a special interest in ensuring that women, minority groups and individuals with disabilities are adequately represented in all of the advisory groups.  It further states that because it also has a special interest in establishing a Board that is represented by diverse viewpoints and constituencies, the CFPB encourages applications for Board membership from candidates who represent U.S. geographic diversity and the interests of special populations identified in Dodd-Frank such as servicemembers and older Americans.

Applicants for the ARC positions must submit a complete application package on or before February 12, 2016 to be considered for membership.  The CFPB expects to announce new ARC members in April 2016.  Applicants for the other positions must submit a complete application package on or before February 29, 2016 to be considered for membership.  The CFPB expects to announce new Board, CBAC and CUAC members in August 2016.

The CFPB has announced that its Consumer Advisory Board will meet on October 22, 2015 in Washington, D.C.  The meeting, at which Director Cordray is scheduled to give opening remarks, will include a discussion of arbitration, trends and themes in the marketplace, and reaching limited English speaking consumers.

According to the meeting agenda, the arbitration discussion will be led by Will Wade-Gery, CFPB Assistant Director, Card & Payments Markets, and Eric Goldberg, CFPB Senior Counsel, Regulations.  Presumably, the discussion will focus on the CFPB’s proposal announced last week to issue rules that would prohibit consumer financial services companies from using class action waivers in consumer arbitration clauses.  (Last month, the CFPB announced new appointments to the Consumer Advisory Board.)

The meeting is open to the public, but an RSVP is required to attend.

The CFPB has announced that a summer meeting of its Consumer Advisory Board is scheduled for June 18, 2015 in Omaha, Nebraska.  Director Cordray is slated to attend the meeting.

The meeting will focus on trends and themes in consumer financial markets and recent proposals related to payday loans, auto title loans, and other longer term credit products.  It requires an RSVP and is open to the public.

 

The next meeting of the CFPB’s Consumer Advisory Board will take place on February 19 in Washington, DC. The focus of the meeting will be to “discuss trends and themes related to consumer and financial well-being and medical debt.” The meeting is open to the public and will be recorded. The CFPB on December 11 of last year held a field hearing about medical debt collection. We have often blogged about developments at the CFPB related to medical debt collection. See here, here, and here.