Financial services companies - banks, non-bank lenders and loan servicers, auto finance companies, student loan companies, debt collectors, credit card issuers, non-traditional finance companies, and other market participants - face numerous legal challenges today, including government investigations and enforcement actions, a shifting regulatory landscape, novel civil litigation theories and other litigation risks. Especially as the Consumer Financial Protection Bureau and other regulators issue guidance and promulgate new rules and regulations impacting the consumer finance industry, it is now more critical than ever that corporate counsel stay abreast of these developments and related enforcement and litigation trends in order to manage institutional risks. Recognizing this need, Goodwin's LenderLaw Watch monitors, chronicles and analyzes news and legal issues impacting our clients and the consumer finance industry.

CFPB Releases Annual Report on Administration of the Fair Debt Collection Practices Act

On March 19, 2021, the Consumer Financial Protection Bureau (CFPB) released its annual report to Congress regarding its administration of the Fair Debt Collection Practices Act (FDCPA).  The CFPB and the Federal Trade Commission (FTC) share government enforcement responsibility for the FDCPA, and work together to coordinate their respective efforts…

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CFPB Issues Report on Housing Insecurity and COVID-19

On March 1, 2021, the Consumer Financial Protection Bureau (CFPB) issued a report titled “Housing Insecurity and the COVID-19 Pandemic” (the Report), which summarizes some of the relevant data and research on the impact of the pandemic on the mortgage market.  The Report warns of widespread foreclosures once federal, state, and…

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CFPB to Delay, Revisit Qualified Mortgage Rules

The Consumer Financial Protection Bureau (CFPB) issued a statement on February 23, 2021 addressing compliance deadlines associated with qualified mortgage regulations completed under former Director Kathleen Kraninger.  In its statement, the CFPB said that it may amend or revoke the Seasoned Qualified Mortgage (QM) Final Rule and expects to issue…

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Eleventh Circuit Holds Administrative Feasibility is Not a Requirement for Class Certification

On February 2, 2021, the United States Court of Appeals for the Eleventh Circuit issued a significant decision holding that a putative class representative does not need to establish an administratively feasible method to identify absent class members as a pre-requisite for class certification under Federal Rules of Civil Procedure…

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Financial Services Enforcement in 2021 Webinar

While it is early in the Biden administration, regulators are signaling that there will be a heightened focus on enforcement of consumer protection regulations. What should financial services companies expect in the year ahead in terms of government regulation and enforcement activity? Goodwin partners Tony Alexis (former CFPB), Bill Harrington…

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California’s DFPI Launches Investigation and First Formal Enforcement Action

On February 3, 2021, California’s Department of Financial Protection and Innovation (DFPI) announced that it has commenced its first formal enforcement action and launched a separate investigation into student loan debt relief companies.  Goodwin previously provided an overview of three new California consumer finance laws that became effective in January 2021,…

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California's Mini-CFPB Enters into Memorandums of Understanding with Earned Wage Access Fintech Companies

In January 2021, the new California Department of Financial Protection and Innovation (DFPI) entered into memorandums of understanding (MOUs) with five earned wage access fintech companies so that these companies can continue to operate in California while providing consumers with protection against abusive practices.  The DFPI, often referred to as…

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Alli Schoenthal Joins as New York Head of Consumer Financial Services Litigation + Enforcement

LenderLaw Watch and Goodwin’s Consumer Financial Services Litigation Team are excited to announce the arrival of Alli Schoenthal to our team! Alli will reside in our New York office.  Alli represents banks, trusts, lenders, government-sponsored enterprises, private equity firms, and loan servicers in consumer finance litigation and enforcement matters.  Her…

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Supreme Court Debates Grammar, Syntax In Case That Will Define the Limits of TCPA Litigation

On December 8, 2020, the United States Supreme Court held oral argument in the case of Facebook, Inc. v. Duguid, No. 19-511, concerning the circuit split over what type of equipment qualifies as an “automatic telephone dialing system” (ATDS) within the statutory definition of that term set forth in Telephone…

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OCC Proposes Rule to Ensure Banks Offer Fair Access to Financial Services

On November 20, 2020, the Office of the Comptroller of the Currency (OCC) issued a proposed rule with the objective of ensuring banks offer fair access to financial services. Certain banks have received significant political pressure from various for-profit and not-for-profit organizations to deny financial services to customers in certain…

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Five Federal Financial Agencies Propose Rule to Clarify Role of Supervisory Guidance

On November 5, 2020, the Federal Register published five federal financial regulatory agencies’ invitation for comment on a notice of proposed rulemaking (NPR) that would codify the agencies’ Interagency Statement Clarifying the Role of Supervisory Guidance, as amended, which was issued on September 11, 2018 (2018 Statement).  The 2018 Statement…

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Consumer Financial Protection Bureau Issues New Final Rule Modernizing the Fair Debt Collection Practices Act

On October 30, 2020, the Consumer Financial Protection Bureau (CFPB) issued a new final rule implementing the Fair Debt Collection Practices Act (FDCPA).  According the CFPB’s press release, the new final rule is designed “to restate and clarify prohibitions on harassment and abuse, false or misleading representations, and unfair practices…

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