The federal banking regulators and the CFPB recently issued an “Interagency Statement on the Use of Alternative Data in Credit Underwriting,” stating in sum that the agencies “encourage responsible use” of alternative data, especially in the context of credit underwriting. A copy of the Interagency…
Posts published in “Banking”
The U.S. Court of Appeals for the Eighth Circuit held that the purchaser of residential mortgage loans could not require the seller of the loans to repurchase purportedly defective loans under their agreement after the loans had gone through foreclosure. However, the seller was required to…
The U.S. Court of Appeals for the Sixth Circuit recently affirmed a trial court’s ruling that, at least under Michigan law, a lender could recover against a living trust that guaranteed a loan from the property held by the trust. A copy of the opinion…
The Office of the Comptroller of the Currency (OCC) and the Federal Deposit Insurance Corporation (FDIC) both recently issued proposed rules to “fix” the potential problems arising from the ruling in Madden v. Midland Funding, LLC, 786 F.3d 246 (2nd Cir. 2015), which called into question the…
In a case of first impression in that circuit, the U.S. Court of Appeals for the Ninth Circuit recently reversed a trial court’s dismissal of a consumer’s Fair Credit Reporting Act (FCRA) claim for lack of standing and failure to state a claim, holding that…
The U.S. Court of Appeals for the Fifth Circuit recently affirmed a bankruptcy court order denying a bank’s motion to compel arbitration, holding that when a debtor seeks to enforce a discharge injunction, a bankruptcy court may decline to compel arbitration because it implicates a…
Three new laws signed by California Gov. Gavin Newsom in recent days will impact consumer credit in the state by capping interest rates on payday and other consumer installment loans, giving automatic exemptions for bank account levies and removing exemptions for attorneys and mortgage loans…
The U.S. Court of Appeals for the Sixth Circuit recently affirmed a judgment in favor of the furnisher of credit information in an action filed under the federal Fair Credit Reporting Act and other claims under state common law. In so ruling, the Sixth Circuit…
The U.S. Court of Appeals for the Seventh Circuit recently reversed a bankruptcy court’s ruling that a lender failed to perfect its security interest because its UCC financing statement failed to provide sufficient indication of the secured collateral under Article 9 of the Uniform Commercial…
The U.S. Court of Appeals for the Eleventh Circuit recently affirmed the denial of a lender’s motions to dismiss and to strike a complaint filed on behalf of a class of borrowers who entered into loan agreements with the lender and its affiliates. In so…
The U.S. Court of Appeals for the Seventh Circuit recently ruled in favor of a bank suing to recover for a fraudulent loan scheme, finding that the Illinois Limited Liability Company Act did not shield the closing agent company’s owner from liability in a fraud…
The U.S. Court of Appeals for the Seventh Circuit recently reversed a trial court order determining that res judicata barred a borrower’s fraud claims against a bank. In so ruling, the Court held that res judicata should not apply in this case because in the…