CFPB Auto Finance Consent Order: A Sign of Things to Come for Add-On Products?On May 21, 2021, the Consumer Financial Protection Bureau (CFPB) and 3rd Generation, Inc. d/b/a California Auto Finance entered into a Consent Order in which the CFPB alleged unfair acts or practices in connection with an auto finance add-on product.

What was the add-on product?

According to the Consent Order, 3rd Generation purchases and services

The Enforcement Blitz Continues: CFPB Signals Return to Aggressive Enforcement of Vague UDAAP RestrictionsCFPB Acting Director David Uejio wasted no time in signifying the changes to come under the Biden administration. Last week, the CFPB rescinded its January 2020 “Statement of Policy Regarding Prohibition on Abusive Acts or Practices” (2020 Policy), which provided the financial services industry a much-welcomed reprieve from enforcement actions for unfair, deceptive,

FTC and NY AG Target Merchant Cash Advance CompaniesOn June 10, 2020, the Federal Trade Commission and the  New York Office of the Attorney General filed actions against two merchant cash advance (MCA) companies – RCG Advances and Ram Capital Funding – and individuals associated with both companies in the Southern District of New York and the Supreme Court of the State of

Think Finance Settlement: Final Resolution Leaves More Questions than It Answers as to Future of CFPB EnforcementThe CFPB announced that it settled with Think Finance, LLC and six subsidiaries on February 5. The settlement follows protracted litigation beginning in November 2017 involving the CFPB’s allegations that Think Finance “engaged in unfair, deceptive, and abusive acts and practices in violation of the Consumer Financial Protection Act in connection with the illegal collection

In 2010, Congress amended the Electronic Funds Transfer Act (EFTA) by creating “a comprehensive system of consumer protections for money sent by U.S. consumers to individuals and businesses in foreign countries.” In 2013, the CFPB issued the Remittance Transfer Rule to implement the EFTA’s new requirements and updated its EFTA exam procedures to incorporate the

Last November, Bradley’s Financial Services Perspectives team predicted that the Consumer Financial Protection Bureau’s (CFPB) then upcoming Notice of Proposed Rulemaking (NPRM) for the Does the New Debt Collection Rule Apply to First-Party Creditors? Fair Debt Collection Practices Act (FDCPA) might cause concern for first-party creditors. By way of background, the statutory scope of the FDCPA does not reach first-party creditors, instead applying only to

HPA Compliance is Back in the CFPB’s CrosshairsOn March 12, 2019, the Consumer Financial Protection Bureau (CFPB) issued the Winter 2019 edition of its Supervisory Highlights report, detailing key examination findings that were discovered during the second half of 2018. The report covers a number of product lines, including automobile loan servicing, deposits and remittances, but spends the most time discussing issues

BCFP Enters into Consent Order with Small Dollar LenderOn October 24, 2018, the Bureau of Consumer Financial Protection (BCFP), formerly known as the CFPB, entered into a Consent Order with Cash Express, LLC. Cash Express is a small dollar lender based in Cookeville, Tennessee, that operates 328 retail lending outlets in Alabama, Kentucky, Mississippi, and Tennessee, and offers short-term loans and check cashing

BCFP Enters Consent Order with Small Dollar LenderTriton Management Group, Inc. (Triton) and several related companies entered into a consent order with the Bureau of Consumer Financial Protection (Bureau) in which Triton agreed to a $1 civil money penalty, $500,000 in consumer redress, and injunctive relief. Triton is a financial services company that originates, purchases, services, and collects on short-term secured and

CFPB Issues Second Consent Order under Acting Director MulvaneySecurity Group, Inc. and several of its wholly owned subsidiaries entered into a consent order with the Consumer Financial Protection Bureau (CFPB) in which it agreed to injunctive relief and to pay a $5 million penalty. Security Group is a financial services company that originates, purchases, services, and collects on short-term secured and unsecured loans.