Latest CFPB Updates

Latest CFPB Updates

The Consumer Financial Protection Bureau

The Consumer Finance Protection Bureau (CFPB) is responsible for consumer protection in the financial sector. CFPB’s jurisdiction includes credit unions,  banks, securities firms, payday lenders, mortgage-servicing operations, foreclosure relief services, debt collectors and other financial companies operating in the United States.

NASCUS closely monitors CFPB developments and responds to request for comments on rules impacting the credit union system.

2020 Updates

(July 30) CFPB issues HMDA FAQs – Multiple Data Points
The CFPB released two HMDA FAQs in response to questions it has received. The FAQs cover reporting requirements for certain data points, and specifically discuss reporting when the information is not the dispositive factor in a credit decision.

(July 28) CFPB Requests Information On Ways To Prevent Credit Discrimination And Build A More Inclusive Financial System
The CFPB issued a request for information (RFI) to seek public input on how best to create a regulatory environment that expands access to credit and ensures that all consumers and communities are protected from discrimination in all aspects of a credit transaction.

(July 24) CFPB Announces Plan to Issue ANPR on Consumer-Authorized Access to Financial Data
CFPB announced that it plans to issue an advance notice of proposed rulemaking (ANPR) later this year on consumer-authorized access to financial records. The announcement follows a symposium the Bureau held earlier this year on the topic, which included experts from consumer groups, fintechs, trade associations, financial institutions and data aggregators. The Bureau is releasing a summary report of the symposium proceedings.

(July 22) CFPB Symposium: Cost-Benefit Analysis in Consumer Financial Protection Regulation
The CFPB will hold a virtual symposium on the use of cost benefit analysis in consumer financial protection regulation. The symposium is intended to seek perspectives on the use of cost-benefit analysis in consumer financial protection regulations. The event will feature remarks by Bureau Director Kathleen L. Kraninger and will consist of two panels of experts.

(July 10) CFPB Releases Report on Debt Settlements and Credit Counseling
The CFPB released a report examining recent trends in debt settlement and credit counseling. The report documents changes over time in how consumers have used these debt relief options for unsecured debt and shows debt settlements rose dramatically during the Great Recession to a peak of $11.4 billion.

(July 7) CFPB Director Kraninger Announces Deputy Director; Additions to Executive Team
CFPB Director Kraninger announced several additions to the Bureau’s executive team, including Deputy Director (Thomas Pahl), Deputy Associate Director for the Consumer Education and External Affairs Division (Delicia Reynolds Hand), Assistant Director for the Office of Consumer Education (Desmond Brown), and Assistant Director for the Office of Stakeholder Management (Matt Cameron).

(July 7) CFPB Issues Final Rule on Small Dollar Lending.
The CFPB issued a final rule concerning small dollar lending in order to maintain consumer access to credit and competition in the marketplace. The final rule rescinds the mandatory underwriting provisions of the 2017 rule after re-evaluating the legal and evidentiary bases for these provisions and finding them to be insufficient. The final rule does not rescind or alter the payments provisions of the 2017 rule.

(July 7) CFPB Ratifies Prior Regulatory Actions
The CFPB ratified most regulatory actions the Bureau took from January 4, 2012 through June 30, 2020. The ratification of previous regulatory actions provides the financial marketplace with certainty that the rules are valid in light of the Supreme Court decision in Seila Law.

(July 6) CFPB Announces Consumer Financial Protection Week, Virtual Events Nationwide
CFPB announced the launch of Consumer Financial Protection Week, which will take place from July 14, 2020, through July 17, 2020. Consumer Financial Protection Week will focus on how the Bureau is protecting consumers in the financial marketplace, the issues consumers are confronting, as well as informing consumers of how they can communicate to the Bureau any issues that they may have with a financial services provider.

(July 2) CFPB Issues Proposed Rule on Escrow Exemptions for Certain High-Priced Mortgage Loans
CFPB issued a notice of proposed rulemaking (NPRM) that would amend Regulation Z to provide a new exemption available to certain insured depository institutions and insured credit unions from the requirement to establish escrow accounts for certain higher-priced mortgage loans (HPMLs).

(June 30) CFPB Releases Spring 2020 Rulemaking Agenda
CFPB published its Spring 2020 Agenda as part of the Spring 2020 Unified Agenda of Federal Regulatory and Deregulatory Actions , which is coordinated by the Office of Management and Budget under Executive Order 12866. The agenda lists the regulatory matters that we expect to focus on between May 1, 2020 and April 30, 2021.

(June 29) CFPB Announces Tech Sprints To Empower Consumers, Reduce Regulatory Burden
The CFPB announced its first-ever Tech Sprints to reduce regulatory burden and improve consumer understanding of financial services. The Bureau’s Tech Sprints program will bring together regulators, technologists, software providers, consumer groups, and financial institutions to develop technological solutions to shared compliance challenges. The first Tech Sprint will kick off in October with another in March 2021.

(June 25) FFIEC Announces Availability of 2019 Data on Mortgage Lending
The Federal Financial Institutions Examination Council (FFIEC) today announced the availability of data on 2019 mortgage lending transactions at 5,508 U.S. financial institutions covered by the Home Mortgage Disclosure Act (HMDA).

(June 23) CFPB Provides Guidance During COVID-19 Pandemic – Mortgage Servicing
The Bureau issued an interim final rule (IFR) to make it clear that mortgage servicers will not violate Regulation X by offering certain loss mitigation options during the COVID-19 pandemic based on their evaluation of an incomplete loss mitigation application.

(June 23) CFPB Issues Interim Final Rule On Loss Mitigation Options For Homeowners Recovering From Pandemic-Related Financial Hardships
The CFPB issued an interim final rule (IFR) that will make it easier for consumers to transition out of financial hardship caused by the COVID-19 pandemic and easier for mortgage servicers to assist those consumers.

(June 23) CFPB Issues Interpretive Rule on Method for Determining Underserved Areas
The CFPB issued an interpretive rule to provide guidance to creditors and other persons involved in the mortgage origination process about the way in which the Bureau determines which counties qualify as “underserved” for a given calendar year.

(June 22) CFPB Takes Steps to Address GSE Patch
The CFPB issued two Notices of Proposed Rulemaking (NPRMs) to address the impending expiration of the Government-Sponsored Enterprises Patch (GSE Patch).  The GSE Patch is scheduled to expire in January 2021 or when the GSEs (Fannie Mae and Freddie Mac) exit conservatorship, whichever comes first.

(June 18) CFPB Launches Pilot Advisory Opinion Program to Provide Regulated Entities Clear Guidance and Improve Compliance
The CFPB  launched a pilot advisory opinion (AO) program to publicly address regulatory uncertainty in the Bureau’s existing regulations. The pilot AO program will allow entities seeking to comply with regulatory requirements to submit a request where uncertainty exists. The Bureau will then select topics based on the program’s priorities and make the responses available to the public.

(June 17)  CFPB issues guidance on COVID-19 consumer reporting
Today, the CFPB issued guidance on consumer reporting during the COVID-19 pandemic. The frequently asked questions (FAQs) address companies’ responsibilities under the CARES Act and the FCRA when they furnish information to consumer reporting agencies about consumers impacted by the crisis.

(June 9) CFPB Issues TRID Factsheet and FAQs
The CFPB has published guidance related to the TILA-RESPA Integrated Disclosure (TRID) Rule, including:

(1)  A Factsheet on how to disclose title insurance on the Loan Estimate and Closing Disclosure, including when a negative owner’s title insurance cost disclosure is appropriate.
(2)  Updated TRID FAQs to include guidance on the total of payments disclosure, using the optional signature line on the Loan Estimate and Closing Disclosure, and the requirement to include seller information on the consumer’s disclosures if providing separate Closing Disclosures.

(June 4) CFPB Takes Steps to Facilitate LIBOR Transition
CFPB took steps to facilitate the transition away from LIBOR for consumers and regulated entities. The Bureau released an updated Consumer Handbook on Adjustable Rate Mortgages (CHARM) to help consumers better understand adjustable rate mortgage loan products. The Bureau also released a Notice of Proposed Rulemaking (NPRM) concerning the anticipated discontinuation of LIBOR, including proposing examples of replacement indices that meet Regulation Z standards. Additionally, the Bureau is issuing guidance (FAQs) on other important LIBOR transition topics that do not require amendments to Regulation Z.

(June 2) CFPB Releases Remittance FAQs
The CFPB has issued FAQs explaining whether failure to deliver remittance transfer funds to the designated recipient by the disclosed date of availability due to certain government-mandated closures in response to the COVID-19 pandemic is an error under the Remittance Rule.

(May 27) CFPB updates the HMDA Small Entity Compliance Guide
CFPB has published updates to the HMDA Small Entity Compliance Guide to reflect changes made to Regulation C by the 2020 HMDA Thresholds Rule. You can access the updated HMDA Small Entity Compliance Guide here.

(May 21) CFPB Issues Consumer Complaint Bulletin
CFPB issued a report analyzing the complaints received during the COVID-19 pandemic. The bulletin shows that mortgage and credit card complaints top the list of complaints the Bureau has received that mention coronavirus or related terms.

(May 13) CFPB Outlines Responsibilities of Financial Firms During Pandemic
CFPB released a statement and FAQs outlining the responsibility of certain financial firms during the pandemic. In the statement, the Bureau outlines the billing error responsibilities of credit card issuers and other open-end non-home secured creditors during the COVID-19 pandemic.

(May 11) CFPB Issues Final Remittance Transfer Rule
The CFPB issued a final rule amending the Remittance Transfer Rule. The Remittance Rule imposes requirements on entities that send international money transfers, or remittance transfers, on behalf of consumers.  Among its requirements, the Rule mandates that remittance transfer providers generally must disclose the exact exchange rate, the amount of certain fees, and the amount expected to be delivered to the recipient. Both the final rule and executive summary are available.

(May 8) Enforcement work continues with a commitment to protecting consumers
The CFPB issued a notice noting that the COVID-19 pandemic has not affected the Bureau’s ability or resolve to use its enforcement tool to police the consumer financial marketplace. The message states that the CFPB enforcement team is working remotely and committed to enforcing consumer financial protection laws in all markets under the organization’s jurisdiction.

(May 6) CFPB Issues Clarifications to Support Small Business Applying for PPP Loans
CFPB issued clarifying FAQs to support small businesses who have applied for a loan from their financial institution under the Small Business Administration’s (SBA) Paycheck Protection Program (PPP). Creditors are generally required under the Equal Credit Opportunity Act and Regulation B to notify applicants within 30 days of receiving a “completed application” of the creditor’s approval, counteroffer, denial or other adverse notice regarding the application.

(April 30) CFPB Releases ECOA Factsheets
CFPB released two factsheets on the ECOA valuations rule in response to frequently asked questions it has received. The factsheets provide information on transaction coverage under the Rule, and delivery method and timing requirements for appraisals and other written valuations.

(April 27) CFPB Adds Enhancements to Consumer Complaint Database
CFPB announced the addition of a geospatial view to the Consumer Complaint Database. With this addition, consumers will now be able to view complaints by state with a U.S. map visualization. Consumers have been able to view complaints by using date, company name, key words, and other filters.

(April 24) CFPB Outlines Mortgage Loan Transfer Process to Prevent Consumer Harm
The CFPB outlined practices to provide mortgage servicers clarity, facilitate compliance, and prevent harm to consumers during the transfer of residential mortgages. The Bureau provides examples of practices that servicers may consider as contributing to compliance.

(April 21) CFPB Releases Video for Non-Filers on Economic Impact Payments
CFPB has released a video outlining the steps that non-filers need to take in order to receive their economic impact payments authorized by the CARES Act. Additionally, the Bureau published a blog with FAQs for consumers with details on the economic impact payments.

(April 20) CFPB Advisory Committees to Meet on May 1, 2020
The CFPB announced today that the Consumer Advisory Board (CAB), Community Bank Advisory Council (CBAC), the Credit Union Advisory Council (CUAC), and the Academic Research Council (ARC) will meet jointly on May 1st from 2:00 to 4:15 pm ET via conference call. The call will be open to the public.

(April 16) CFPB Issues Final Rule Raising Loan-Volume Coverage Thresholds
The Consumer Financial Protection Bureau (Bureau) issued a final rule raising the loan-volume coverage thresholds for financial institutions reporting data under the Home Mortgage Reporting Act (HMDA). The final rule, amending Regulation C, increases the permanent threshold for collecting and reporting data about closed-end mortgage loans from 25 to 100 loans effective July 1, 2020.

(April 14) Federal Banking Agencies to Defer Appraisals and Evaluations for Real Estate Transactions Affected by COVID-19
The federal banking agencies today issued an interim final rule to temporarily defer real estate-related appraisals and evaluations under the agencies’ interagency appraisal regulations. The CFPB, Fed, FDIC, and the OCC are providing this temporary relief to allow regulated institutions to extend financing to creditworthy households and businesses quickly in the wake of the national emergency declared in connection with COVID-19.

(April 13) CFPB Paves Way for Consumers to Receive Economic Impact Payments Quicker
The CFPB took steps to make it easier for consumers to receive pandemic-relief payments, including the economic impact payments authorized in the CARES Act, through prepaid accounts. Federal, State, and local governments are considering a variety of approaches to providing consumers relief from the economic impacts of the COVID-19 pandemic.

(April 10) CFPB Guide to COVID-19 Stimulus Relief
CFPB summarized the most common questions about the economic impact payments, including how much individuals are eligible to receive and when individuals can expect to receive it.

(April 10) CFPB Guidance on Remittance Transfers During COVID-19 Pandemic
The CFPB issued a policy statement that will enable insured institutions to continue to focus on the immediate needs of their customers by taking a flexible approach to the Bureau’s supervision and enforcement of remittance transfers, in order to minimize the impact of the pandemic on the remittances market,

(April 7, 2020) Agencies Issue Revised Interagency Statement on Loan Modifications by Financial Institutions Working with Customers Affected by the Coronavirus
The federal financial institution regulatory agencies (the agencies), in consultation with state financial regulators, issued a revised interagency statement encouraging financial institutions to work constructively with borrowers affected by COVID-19 and providing additional information regarding loan modifications. The revised statement also provides the agencies’ views on consumer protection considerations.

(April 3, 2020) CFPB Releases Video on How Mortgage Forbearance Works Under CARES Act
CFPB has released a video on how struggling homeowners can obtain mortgage forbearance if their finances are impacted due to the COVID-19 pandemic. The Bureau has also issued additional information for consumers on mortgage and student loan payment relief and how to avoid scams.

(April 1, 2020) CFPB Issues Credit Reporting Guidance During COVID-19 Pandemic
The CFPB released a policy statement outlining the responsibility of credit reporting companies and furnishers during the COVID-19 pandemic.  In response to the pandemic, many lenders are being flexible when it comes to consumers’ making payments.  The Bureau’s statement underscores that consumers benefit if lenders report accurate information about these arrangements to credit bureaus so that the credit reports of consumers are accurate.

(March 27, 2020) Consumer Financial Protection Bureau Issues Request for Information to Assist Taskforce on Federal Consumer Financial Protection Law
The Bureau issued today a request for information (RFI) to assist the Taskforce on Federal Consumer Financial Law (Taskforce) with recommendations on harmonizing, modernizing, and updating the federal consumer financial laws. The Taskforce seeks input from the public at this time to help identify areas of consumer protection on which it should focus its research and analysis during the balance of its one-year appointment.

(March 26, 2020) Federal Agencies Encourage Banks, Savings Associations, and Credit Unions to Offer Responsible Small-Dollar Loans to Consumers and Small Businesses Affected by COVID-19
Five federal financial regulatory agencies today issued a joint statement encouraging banks, savings associations, and credit unions to offer responsible small-dollar loans to consumers and small businesses in response to COVID-19.

(March 26, 2020) CFPB Provides Flexibility During COVID-19 Pandemic
CFPB announced that it is providing needed flexibility to enable financial companies to work with customers in need as they respond to the COVID-19 pandemic. The Bureau is postponing some data collections from industry on Bureau-related rules to allow companies to focus on responding to consumers in need and making changes to its supervisory activities to account for operational challenges at regulated entities.

(March 20, 2020) CFPB Releases Report on 2019 Administration of the Fair Debt Collection Practices Act; Announces Extension of Comment Period
CFPB released the annual report to Congress on the administration of the Fair Debt Collection Practices Act (FDCPA). The report highlights the continued efforts by the Bureau and the Federal Trade Commission (FTC) to stop unlawful debt collection practices, including vigorous law enforcement, consumer education and public outreach, and policy initiatives. Additionally, the Bureau announced today that it is extending the comment period on its Supplemental Notice of Proposed Rulemaking (SNPRM) implementing the Fair Debt Collection Practices Act (FDCPA). The SNPRM, which proposed to require debt collectors to make certain disclosures when collecting time-barred debts, provided a 60-day public comment period that was set to close on May 4, 2020. Given the challenges posed by the COVID-19 pandemic, the comment period will be extended to June 5, 2020.

(March 6, 2020) Responsible Business Conduct: Self-Assessing, Self-Reporting, Remediating, and Cooperating (CFPB Bulletin 2020-01)
In 2013, the Bureau issued a Bulletin that identified several activities that individuals/businesses could engage in that could prevent and minimize harm to consumers, referring to these activities as “responsible conduct.” The Bureau is issuing this updated Bulletin to clarify its approach to responsible conduct and to reiterate the importance of such conduct.

(March 6, 2020) CFPB Releases New New HMDA FAQ and Regulatory Implementation Survey
CFPB published a response to the following frequently asked HMDA question: If a natural person applicant submits a mail, internet, or telephone application under Regulation C but does not provide race, ethnicity, or sex information, what should the financial institution report regarding whether this information was collected on the basis of visual observation or surname?  You can read the new FAQ here.

The Bureau is also seeking feedback on its compliance and guidance website.  The survey is available now.

(March 6, 2020) CFPB Takes Key Steps to Prevent Consumer Harm; Proposes Whistleblower Award Program, Other Measures
The Consumer Financial Protection Bureau (Bureau) today announced three steps to advance its strategy on one of its key priorities: preventing consumer harm.

The Bureau is:

  • Implementing an advisory opinion program to provide clear guidance to assist companies in better understanding their legal and regulatory obligations through advisory opinions;
  • Amending and reissuing its responsible business conduct bulletin, which articulates that the Bureau intends to provide credit to entities for their responsible conduct based on its extent and significance; and
  • Engaging with Congress to advance proposed legislation that would authorize the Bureau to award whistleblowers who report violations of Federal consumer financial law.

(Feb. 21, 2020) CFPB Issues Supplemental Notice of Proposed Rulemaking on Time-Barred Debt Disclosures
The Consumer Financial Protection Bureau (CFPB) issued a Supplemental Notice of Proposed Rulemaking (Supplemental NPRM) regarding the collection of time-barred debt.  The Bureau proposes to prohibit collectors from using non-litigation means (such as calls) to collect on time-barred debt unless collectors disclose to consumers during the initial contact and on any required validation notice that the debt is time-barred.  Consumer research conducted by the Bureau found that a time-barred debt disclosure helps consumers understand that they cannot be sued if they do not pay.  That can help consumers make better informed decisions whether to pay the debt or not.

(Feb. 20, 2020) CFPB to Host Symposium on Consumer Access to Financial Records
The Consumer Financial Protection Bureau (Bureau) announced today that it will hold a symposium on Consumer Access to Financial Records and Section 1033 of the Dodd-Frank Act on February 26, 2020 at 9:30 a.m.  The event will be webcast on the Bureau’s website.

(Feb. 13, 2020) FFIEC Issues 2020 Edition of the Guide to HMDA Reporting
The 2020 edition of the “Guide to HMDA Reporting: Getting It Right!” is now available. The guide was developed by member agencies of the Federal Financial Institutions Examination Council (FFIEC), including NCUA, and reflects updates to incorporate content from the HMDA Rule issued by the CFPB in October 2019.  The appendices provide additional implementation materials you may find useful.

(Jan. 30, 2020) CFPB Announces Additions to Executive Team
The Consumer Financial Protection Bureau (Bureau) announced additions to its executive team. The leadership positions are:

  • Susan M. Bernard will serve as Assistant Director for Regulations in the Research, Markets and Regulation Division.
  • Donna Roy will serve as Chief Information Officer in the Bureau’s Operations Division.
  • Rachelle Vaughan will serve as Chief Procurement Officer in the Bureau’s Operations Division.
  • Thomas G. Ward will serve as Assistant Director of Enforcement in the Supervision, Enforcement & Fair Lending Division.
  • David Wernecke will serve as Chief Experience Officer.

(Jan. 27, 2020) CFPB Announces Policy Statement on Compliance Aids
The CFPB  announced a new designation for certain Bureau guidance, known as “Compliance Aids,” and explained the legal status and role of guidance with that designation. Compliance Aids are designed to accurately summarize and illustrate the underlying rules and statutes. Accordingly, when exercising its enforcement and supervisory discretion, the Bureau does not intend to sanction, or ask a court to sanction, entities that reasonably rely on Compliance Aids.

(Jan. 24, 2020) CFPB Announces Policy Regarding Abusive Acts or Practices
The Dodd-Frank Act prohibits “abusive” acts or practices in connection with the provision of consumer financial products or services. The Bureau announced a policy providing clarification on how it intends to apply abusiveness in order to promote compliance and certainty. (READ)

(Jan. 24, 2020) CFPB Updates HMDA Small Entity Compliance Guide 
The Consumer Financial Protection Bureau published an updated version of the HMDA Small Entity Compliance Guide (Guide).  Changes to the Guide include updates to incorporate content from the HMDA Final Rule issued in October 2019. (READ)

(Jan. 13, 2020) CFPB Accepting Applications for Advisory Committees
To ensure that the CFPB hears from a variety of external experts with diverse viewpoints, we established the Consumer Advisory Board, the Community Bank Advisory Council, the Credit Union Advisory Council, and the Academic Research Council. These advisory committees provide the Bureau with information about emerging trends and practices in the consumer financial marketplace. They also allow us to hear directly from small financial institutions. (READ)

(Jan. 9, 2020) CFPB Announces Membership of Taskforce on Consumer Financial Law
The CFPB announced four members who will serve on the Taskforce on Federal Consumer Financial Law. The Taskforce will examine the existing legal and regulatory environment facing consumers and financial services providers and report to Director Kraninger its recommendations for ways to improve and strengthen consumer financial laws and regulations.  The Taskforce will produce new research and legal analysis of consumer financial laws in the United States, focusing specifically on harmonizing, modernizing, and updating the federal consumer financial laws—and their implementing regulations—and identifying gaps in knowledge that should be addressed through research, ways to improve consumer understanding of markets and products, and potential conflicts or inconsistencies in existing regulations and guidance. (READ)

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2019 CFPB Updates