The U.S. Supreme Court has granted certiorari in NLRB v. Noel Canning[ref]705 F.3d 490 (D.C. Cir. 2013)[/ref], a case from the U.S. Court of Appeals of the District of Columbia which held that President Obama’s recess appointment of three members to the National Labor Relations Board was unconstitutional. The decision found that a president could not exercise his power to make recess appointments during a period when the Senate was not between sessions of Congress. The Court’s decision to hear Noel Canning has direct implications for Richard Cordray, Director of the Consumer Financial Protection Bureau, who was appointed on the same day as the three NLRB commissioners whose appointments…
Posts published in “CFPB”
Consumer Financial Protection Bureau
The City of Boston will be forwarding calls from residents to the Consumer Financial Protection Bureau when the callers have questions or complaints about financial products and services, the city announced yesterday. Those who call the city’s 24-hour hotline at (617) 635-4500 with questions about such matters as credit cards, mortgages and loans will be connected with the CFPB, who will provide answers and process complaints. The CFPB screens complaints and contacts companies on behalf of consumers, requesting feedback from companies within 15 days and a resolution within 60 days.
The Consumer Financial Protection Bureau has issued rules on The Credit Card Accountability Responsibility and Disclosure Act (“CARD Act”) to make it easier for stay-at-home spouses and partners to get credit cards by allowing card issuers to consider household income in their applications. The 2009 CARD Act requires that card issuers determine if a consumer is able to repay a debt before opening an account or increasing a limit. Until this new regulation, the issuer was only able to consider the individual applicant’s independent income. Card issuers have six months to comply with the new regulation. The CFPB’s press release is…
I will be attending a joint FTC-CFPB roundtable on data integrity in debt collection on June 6, at the FTC’s Satellite Building Conference Center in Washington, D.C. Consumer advocates, industry experts, regulators and more will attend the roundtable to discuss what information is available to collectors and how it is being used in the debt collection process. Panelists will also examine the verification of disputed debts under the FDCPA and FCRA; debt collection litigation and time-barred debts.
The Consumer Financial Protection Bureau today released its Annual Report to Congress on the Fair Debt Collection Practices Act (“FDCPA”). The Report outlines the consumer complaints received by the Bureau and the Federal Trade Commission relating to FDCPA practices, the Bureau’s efforts in supervising persons subject to the FDCPA, its enforcement, education and outreach efforts and its research and policy initiatives. A chapter is also devoted to the cooperative efforts of the Bureau and the FTC. Technology has played a role in making debt collection more efficient and compliant, the Report found. At the same time, “abuses still exist and the industry remains a top…
Earlier this month, Reuters reported that several state attorneys general are engaged in a coordinated investigation of the defaulted debt sales practices by some of the nation’s largest banks. Last fall, the American Banker reported that Mississippi Attorney General Jim Hood was looking at JPMorgan Chase’s debt sales practices. The Federal Trade Commission released its study last month entitled The Structure and Practices of the Debt Buying Industry. And then there are remarks recently delivered by Richard Cordray, Director of the Consumer Financial Protection Bureau (“Bureau”), at the first meeting of its Consumer Advisory Board: [A] creditor may decide to sell [a defaulted debt] to or contract with…
Here are the slides from my presentation The Consumer Financial Protection Bureau’s Impact on the Practice of Law made to the New Jersey Creditor’s Bar Association (NJCBA) on February 19, 2013. The NJCBA is a terrific organization supporting attorneys engaged in the practice of collection and credit law in New Jersey. Anyone interested in membership should drop me a line at dsm@mnlawpc.com.
What would it be like to undergo a CFPB examination? What will be the CFPB’s focus in examining debt purchasers and what methods will the CFPB use to gather information about their operations? Find out at the DBA International Conference next week where I’ll be presenting Ready or Not, Here Comes the CFPB with some of the best and brightest on this topic — my colleagues Alan Kaplinsky and Chris Willis from Ballard Sphar, who bring you CFPBMonitor.com, and Tomio Narita from Simmonds & Narita LLP, author of the FDCPA Defense Blog. More information about DBA International and its Annual Conference in…
I ran across this post at the State Bar of Michigan Blog (http://sbmblog.typepad.com). It is the first state bar organization to mention the regulation of attorneys by CFPB fiat. There you have it — go Michigan, you’re #1! You can read it for yourself here. Let me know if your State or local bar has weighed in. wellesenterprises
Election Day is next Tuesday and it is also an opportunity to learn more about the Consumer Financial Protection Bureau’s plans to regulate attorneys and small businesses. Join me at 11:30 am ET along with Alan Kaplinsky, Chris Willis and John Culhane of Ballard Spahr for this webinar on the Larger Participant Rule issued by the Consumer Financial Protection Bureau last week. I’ll be discussing the CFPB’s plan to regulate even small businesses and law firms it deems as “service providers.” Ballard Spahr publishes the cfpbmonitor.com which is a must read for anyone connected to the consumer financial services industry. This…
In his October 27, 2012 weekly address to the Nation, President Obama praised recent efforts of the Consumer Financial Protection Bureau. Among the highlights: “[The CFPB’s] only mission is to fight for you.” “[The CFPB] recently ordered three big credit card companies to return more than $400 million dollars to folks who were deceived or mislead . . . that’s what Wall Street Reform is all about . . .” “[Republicans in Congress] backed by an army of financial industry lobbyists, they’ve been waging an all out battle to delay, defund and dismantle these new rules.” ” . . .the true engine of job creation in this country is the private sector —…
Last night, the Consumer Financial Protection Bureau (CFPB) released its Larger Non-Bank Participant Rule. The Rule is available here. In addition to releasing the Rule, the CFPB released an examination manual and a fact sheet. Some highlights: The Rule is effective January 2, 2013 — 70 days from today. The Rule provides a description of the examination process. It does not apply to entities that originate credit. A person is subject to the Rule if they have more than $10 million in “annual receipts” resulting from consumer debt collection. “Annual receipts” is derived from a three-year average of receipts. “Annual receipts” does not include “those receipts that…