insideARM Weekly Recap – Week of September 9th, 2024

The CFPB was heavy in the news last week, and our weekly recap reflects that. Let’s dive in. 

On Tuesday, we reported how a group of community, civil rights, consumer, and advocacy organizations urged both presidential candidates to support the CFPB’s efforts to combat “junk fees.” In a letter to Vice President Harris and former President Trump, they called for continued regulation of credit card, overdraft, and non-sufficient funds fees, which disproportionately affect lower-wage workers, people of color, and small businesses. The letter emphasized that these fees drive consumers into debt cycles and push them toward predatory financial services. The groups advocated for an economic agenda that prioritizes consumer financial stability and supports the CFPB's regulatory role. 

On Wednesday, we shared an interview from the podcast FCRA Focus. Kim Phan hosted Michelle Macartney from Bridgeforce and Stefanie Jackman from Troutman Pepper to discuss the intersection of the Fair Credit Reporting Act (FCRA) and debt collection. The conversation centered on recent Consumer Financial Protection Bureau (CFPB) rulemaking focused on medical debt, as well as broader issues of credit reporting and compliance. Michelle shared her conflicted views on the impact of removing medical debt from credit reports, acknowledging the challenges but also the necessity of maintaining legitimate debt reporting. Stefanie raised concerns about data-driven decisions by the CFPB and potential long-term consequences for other types of debt reporting. The episode also explored challenges furnishers face with disputes, bankruptcy reporting, and maintaining compliance with evolving regulations.