The new leaders of the Consumer Financial Protection Bureau (CFPB) are taking the most significant step yet toward unwinding rules panned by the finance industry and the GOP.
The CFPB announced this week that it would delay compliance with new regulatory rules for short-term, high-interest loans, commonly known as payday loans. The agency said it is considering how to roll back those rules.
The Consumer Financial Protection Bureau will review its procedures for investigating financial firms as part of a top-to-bottom examination of agency functions ordered by acting Director Mick Mulvaney. The CFPB is seeking comment on its civil investigative demand (CID) procedures, which the financial services industry has criticized for being “unnecessarily burdensome” and not providing recipients with “a meaningful understanding of why the information is needed,” Benjamin Olson, a partner at Buckley Sandler, told Bloomberg Law.
WASHINGTON — Twenty-two financial, retail and technology trade associations have sent a letter to the House Energy and Commerce Committee calling for new federal regulations governing data breaches that would preempt state law.
The groups said new legislation should create a “flexible, scalable” standard that would account for the size, cost and nature of data collected by a company and that it should create a “notification regime” requiring timely notice of a data breach to consumers, law enforcement and regulators.
WASHINGTON—The Trump administration’s move to put its budget chief in charge of the Consumer Financial Protection Bureau exposed a divide between a White House faction and the Treasury Department over just what the role of the consumer watchdog should be.
gave the bureau to insulate its work from interference.
But the GOP could do little to stop the bureau while Cordray was in charge. Congress doesn’t control the CFPB’s funding, and former President Obama would have vetoed any major legislative changes to the Dodd-Frank Wall Street Reform and Consumer Protection Act, the 2010 bill that created agency.
A "safer" payday loan sounds like an oxymoron. Critics have branded these notoriously high-cost loans as debt traps that cause borrowers to go ever deeper in the hole.
Thanks to a recent regulatory change, it now may be possible for banks to offer small, short-term loans that could be a lot less dangerous for borrowers. Whether banks will actually do so remains to be seen.
The Consumer Financial Protection Bureau is now the star of a bizarre legal and bureaucratic drama, a Rome-versus-Avignon power struggle unfolding a block from the White House. The resignation of the bureau’s director, Richard Cordray, has created a soap-opera succession battle tailor-made for the frenzied Washington news cycle, with two dueling officials claiming his job and furious partisans arguing both sides. President Donald Trump’s tweet on Nov. 25trashing the CFPB as “a total disaster” got more attention than anything the bureau has done in its six-year existence.
WASHINGTON – A federal judge on Tuesday refused to block the appointment of Mick Mulvaney as interim director of the Consumer Financial Protection Bureau, siding with the Trump administration in the legal fight over the leadership of the consumer watchdog.
"Denying the president's authority to appoint Mr. Mulvaney raises significant constitutional questions," U.S. District Judge Timothy Kelly said.