Press "Enter" to skip to content

CFPB Increases Maximum Amount of Civil Monetary Penalties

cfpb civil penaltiesEffective Jan. 15, 2020, the Consumer Financial Protection Bureau increased the maximum civil monetary penalty it can impose within its jurisdiction. The increases are required by federal law, which requires agencies to adjust for inflation each civil monetary penalty within an agency’s jurisdiction by Jan. 15.

The adjusted penalties are as follows:

Law

Penalty description

Penalty amounts established under 2019 final rule

New penalty amount

Consumer Financial Protection Act, 12 U.S.C. 5565(c)(2)(A)

Tier 1 penalty

$5,781

$5,883

Consumer Financial Protection Act, 12 U.S.C. 5565(c)(2)(B)

Tier 2 penalty

28,906

29,416

Consumer Financial Protection Act, 12 U.S.C. 5565(c)(2)(C)

Tier 3 penalty

1,156,242

1,176,638

Interstate Land Sales Full Disclosure Act, 15 U.S.C. 1717a(a)(2)

Per violation

2,014

2,050

Interstate Land Sales Full Disclosure Act, 15 U.S.C. 1717a(a)(2)

Annual cap

2,013,399

2,048,915

Real Estate Settlement Procedures Act, 12 U.S.C. 2609(d)(1)

Per failure

94

96

Real Estate Settlement Procedures Act, 12 U.S.C. 2609(d)(1)

Annual cap

189,427

192,768

Real Estate Settlement Procedures Act, 12 U.S.C. 2609(d)(2)(A)

Per failure, where intentional

190

193

SAFE Act, 12 U.S.C. 5113(d)(2)

Per violation

29,192

29,707

Truth in Lending Act, 15 U.S.C. 1639e(k)(1)

First violation

11,563

11,767

Truth in Lending Act, 15 U.S.C. 1639e(k)(2)

Subsequent violations

23,125

23,533

 

Print Friendly, PDF & Email

Donald Maurice provides counsel to the financial services industry, successfully litigating matters in the state and federal courts in individual and class actions. He has successfully argued before the Third, Fourth and Eighth Circuit U.S. Courts of Appeals, and has represented the financial services industry before several courts including as counsel for amicus curiae before the United States Supreme Court. He counsels clients in regulatory actions before the CFPB, and other federal and state regulators and in the development and testing of debt collection compliance systems. Don is peer-rated AV by Martindale-Hubbell, the worldwide guide to lawyers. In addition to being a frequent speaker and author on consumer financial services law, he serves as outside counsel to RMA International, on the governing Board of Regents of the American College of Consumer Financial Services Lawyers and on the Governing Committee of the Conference on Consumer Finance Law. From 2014 to 2017, he chaired the ABA's Bankruptcy and Debt Collection Subcommittee. For more information, see https://mauricewutscher.com/attorneys/donald-maurice/

Leave a Reply

Your email address will not be published. Required fields are marked *

This site uses Akismet to reduce spam. Learn how your comment data is processed.