November 15, 2019
Non-Prime Times publishes Partner Eric Johnson's CFPB update article
In the November/December issue of the NAF Association's Non-Prime Times Magazine, Partner Eric Johnson summarizes the Consumer Financial Protection Bureau's (CFPB) recent actions that appear contrary to Director Kathleen Kraninger's comments earlier this year.
Eric reminds us that in April 2019, Director Kraninger stated that the CFPB would no longer be engaging in rulemaking through its enforcement actions, and that the focus of its enforcement efforts would be on preventing consumer harm. She indicated a continued shift in the Bureau's emphasis from enforcement to education and supervision.
However, Eric notes that the Bureau has actually increased investigations, and that companies are receiving more civil investigative demands (CIDs). A review of the CFPB's enforcement actions so far this year indicates the number of actions brought in 2019 has increased 80% over those brought in 2018.
Eric Johnson assists national and state banks, savings associations, credit unions, mortgage bankers, other licensed lenders, motor vehicles dealers and automotive finance companies in the development and maintenance of nationwide consumer mortgage and automobile finance programs; online motor vehicle sales programs; litigation funding programs; and electronic payment programs. He is the chair of the NAF Legal Committee.
Click here to read the article on page 5.
For more updates on Kraninger's first year at the CFPB, click here to register for Hudson Cook's webinar on December 11 from 2-3 pm EST.