The Consumer Financial Protection Bureau (CFPB) and the Federal Trade Commission (FTC) have filed several recent enforcement actions challenging debt collection practices by original creditors as well as third-party debt collectors. In addition, the CFPB’s Notice of Proposed Rulemaking on debt collection is expected shortly. These rules are anticipated to codify a sea change in the collection industry.
The Consumer Financial Protection Bureau (CFPB) recently released two reports that shed a little light on how the Bureau is currently approaching debt collection regulation and provided a hint that any new debt collection rule proposals may be delayed well into 2015.
The U.S. Court of Appeals for the D.C. Circuit heard oral arguments in two cases Wednesday that challenge the CFPB’s authority to regulate financial services firms due to its one Director leadership structure. The specific arguments concerned standing to bring such suits, with the merits of the challenges pending.
The Consumer Financial Protection Bureau (CFPB) Wednesday took its first action against a “buy-here, pay-here” car dealer over illegal debt collection and credit reporting practices.
The CFPB today proposed strong, new federal consumer protections for the prepaid market. The proposal would require prepaid companies to limit consumers’ losses when funds are stolen or cards are lost, investigate and resolve errors, provide easy and free access to account information, and adhere to credit card protections if a credit product is offered in connection with a prepaid account.
The Consumer Financial Protection Bureau (CFPB) Wednesday released a report highlighting debt collection as a top complaint for older Americans, many of whom say they struggle with debt in retirement. The CFPB also issued a consumer advisory to help older Americans deal with harassing debt collectors.
The CFPB Tuesday released its Supervisory Highlights report for Fall 2014. Among the highlights were recent examinations of larger market participant debt collectors resulting in identification of “an unfair practice and several violations of the Fair Debt Collection Practices Act” involving convenience fees, threats of litigation, bad training materials, and debt sales practices.
With a little more than a week to go before the Congressional mid-term elections, attention is shifting away from the potential results to what the outcome might mean for governance. If the Senate changes hands, committees will get new leaders, including the one that oversees the CFPB. Will the Senate behave like the House over the past two years in its oversight? Unlikely.
The CFPB this week finalized a rule to promote more effective privacy disclosures from financial institutions to their customers. The new rule, which will primarily impact creditors and debt buyers, allows companies to post their GLBA-mandated annual privacy notices online rather than delivering them individually.
The U.S. financial watchdog Consumer Financial Protection Bureau (CFPB) Thursday released a new set of tools student loan borrowers can use if they run into trouble making payments on their accounts. The federal agency’s goal in the release is to help distressed borrowers avoid defaulting on their student loans and going into collections.