CFPB

The CFPB has defined its sweeping authority to prohibit unfair, deceptive, and abusive acts or practices (UDAAP) primarily through enforcement actions, along with a few agency-issued supervisory findings and guidance bulletins, according to Morrison & Foerster, LLP. In 2015, almost 80% of the CFPB’s enforcement actions included at least one UDAAP claim, a slight increase over the prior year (72%).  Of the 70 individual unfair, deceptive or abusive claims alleged by the Bureau in 2015, more than half of them were “deceptive” claims, while eight were “abusive” claims.  

“Newly uncovered internal memos reveal the Obama administration knowingly exaggerated charges of racial discrimination in probes of Ally Bank and other defendants in the $900 billion car-lending business as part of a ‘racial justice’ campaign that’s looking more like a massive government extortion and shakedown operation,” wrote Paul Sperry in the New York Post. “So far, Obama’s [CFPB] has reached more than $220 million in settlements with several auto lenders since the agency launched its anti-discrimination crusade against the industry in 2013. Several other banks are under active investigation.”

It’s too soon to tell whether marketplace lending is the next Uber or just another flash in the pan. 

Maybe we can square the circle,” said Jean Claude Trichet, former ECB president.  

“The CFPB has issued what it calls a “fact sheet” regarding the disclosure of construction-to-permanent loans under the TILA/RESPA Integrated Disclosure (TRID) rule…,” wrote Ballard Sphar’s Richard Andreano. “The fact sheet falls far short of the detailed guidance sought by the mortgage industry. …The failure of the CFPB to provide written guidance on other aspects of the TRID rule has significantly contributed to the confusion and uncertainty in the industry regarding TRID rule requirements.”