Press "Enter" to skip to content

Posts tagged as “Regulation”

Foreclosing FHA-Insured Mortgages in Ohio: Answers to Common Questions Posed in Contested Litigation

Lenders foreclosing FHA-insured mortgages in Ohio often face challenges that contest the lender’s compliance with relevant regulations from the U.S. Department of Housing and Urban Development (HUD). Like most courts throughout the nation, Ohio courts treat HUD regulations as contractual terms incorporated into FHA-insured mortgage loan documents. As Ohio case law on this issue continues to evolve, confusion—and sometimes shock—can arise for out-of-state lenders unfamiliar with the state-specific intricacies of litigating contested foreclosures involving FHA-insured mortgage loans in Ohio.

OCC and FDIC Issue NPRMs to Fix Madden, and Clarify the Validity of the ‘Valid When Made’ Doctrine

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 “valid when made” doctrine. In addition, the FDIC’s proposal would make clear that the permissible interest on a loan would be determined at the time the loan is made, regardless of subsequent events such as changes in state law or the sale or assignment of the loan. The OCC’s Notice of Proposed Rulemaking is available…

Nevada Enacts ‘Consumer Protection from the Accrual of Predatory Interest After Default Act’

Nevada has enacted a new law entitled the “Consumer Protection from the Accrual of Predatory Interest After Default Act,” which relates to consumer form contracts used in connection with retail installment transactions and the prejudgment and postjudgment interest and attorney fees that may be awarded by a court. Signed into law on June 3 and applicable only to contracts entered into on or after Oct. 1, the Act adds a new chapter to Title 8 of the Nevada Revised Statutes, “Commercial Instruments and Transactions.” The Act does not apply to a number of entities, including (but not limited to): banks;…

CFPB Extends Comment Period on Proposed Debt Collection Rules to Sept. 18

The Consumer Financial Protection Bureau has announced it will allow more time for comments on its Notice of Proposed Rulemaking to implement the Fair Debt Collection Practices Act. The CFPB has extended the comment period by 30 days to Sept. 18. Years in the making, if adopted the proposed rules would bring significant changes to the form and manner of consumer debt collection subject to the FDCPA. According to the CFPB, its proposal “would set clear, bright-line limits on the number of calls debt collectors may place to reach consumers on a weekly basis; apply prohibitions on harassment or abuse, false…

CFPB Releases Proposed Rules to Govern Collection Activities Under the FDCPA and Dodd-Frank Act

The Consumer Financial Protection Bureau today released its Notice of Proposed Rulemaking to implement the Fair Debt Collection Practices Act. Years in the making, the proposed rules if adopted would bring significant changes to the form and manner of debt collector communications to consumers, credit reporting and litigation activity. Interested parties will have 90 days from publication in the Federal Register to submit comments to the rules. The rules are available here. The Notice of Proposed Rulemaking covers a wide array of material; we look at a few of the most significant proposals below. Call Frequency Cap The NPRM would…

West Virginia Amends Consumer Credit and Protection Act; Exempts Collection Agencies from Licensing

On March 26, West Virginia Gov. Jim Justice approved House Bill 3143 which amends the state’s Consumer Credit and Protection Act. First, current law provides that a Regulated Consumer Lender License is required for: Making regulated consumer loans; or Taking assignments of or undertaking direct collection of payments from or enforcement of rights against consumers arising from regulated consumer loans (W. Va. Code § 46A-4-101). The amendment excludes from licensing under this section collection agencies that are licensed pursuant to the West Virginia Collection Agency Act. Second, the bill increases the dollar thresholds for certain loans to which maximum finance…

CFPB Calls For Greater Data Integrity in Debt Collection

Recent remarks from Consumer Financial Protection Bureau Deputy Director Steven Antonakes indicate that the CFPB remains particularly interested in data integrity during debt collection. Speaking at the National Community Reinvestment Coalition Annual Conference in Washington yesterday, Antonakes said the bureau is “concerned that the accuracy of account information degrades as it passed on from the original creditor to debt collection firms or debt buyers.” Antonakes also suggested that improvements in data integrity will further the bureau’s efforts “to ensure that collectors are seeking to recover debts from the right person in the right amounts.” Concerns over data integrity are consistent with the bureau’s policy statement in its…

November 6 Webinar: What Debt Collectors, Debt Buyers, and Collection Lawyers Need To Know About the CFPB Larger Participant Rule and CFPB Exams

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…