A single paragraph in a lawsuit filed by the Consumer Financial Protection Bureau is sparking fears by third-party payment processors that the agency is quietly and significantly expanding its authority over the industry.
The Consumer Financial Protection Bureau added its voice Tuesday to a chorus of other regulators in calling for sustainable foreclosure relief when the Home Affordable Modification Program expires at yearend.
Banks should assess a customer's full financial picture before deciding to sell a debt to a third-party collection agent.
The Consumer Financial Protection Bureau's debt collection plan is likely to put pressure on banks and first-party creditors to provide better documentation on consumer debts that get transferred to debt buyers and collectors. While the proposal does not cover banks and first-party creditors, some experts said banks will be on the hook for providing better information.
The Consumer Financial Protection Bureau released a plan Thursday to overhaul the debt collection industry that would limit collection attempts to six per week and require confirmation of a debt before contacting consumers. The plan, however, is not yet directed at banks and credit card companies.
More than 40% of consumers with complaints about debt collections say they were asked to pay debts they didn't owe. There are a host of reasons for the problem, including inscrutable legal disclosures.
The Consumer Financial Protection Bureau is set to unveil a sweeping proposal on debt collection practices this week that would force banks and credit card companies for the first time to comply with federal restrictions. It said the plan would put an end to some of the most egregious practices in the $13.7 billion debt collection industry.
Bankers are taking the unusual step of asking the government for additional regulations ones that can be used to block the Consumer Financial Protection Bureau from seeking more data from financial institutions.
The Consumer Financial Protection Bureau's fifth anniversary marks an important shift for the agency in which it pivots from rules required by the Dodd-Frank Act to pursuing other areas.
The Consumer Financial Protection Bureau is expected to unveil a proposal on July 28 that would regulate debt collection practices.
Republican lawmakers put Department of Housing and Urban Development Secretary Julian Castro on the hot seat Wednesday, criticizing his decision to allow nonprofit community groups to bid on more nonperforming Federal Housing Administration loans.
Fannie and Freddie regulator's first report on NPL sales shows more borrowers avoid foreclosures when their loans are sold to investors.
Debt collection complaints fell in May, and the average of complaints from March through May also dropped, according to the Consumer Financial Protection Bureaus latest monthly complaint report.
The U.S. Supreme Court on Monday allowed a class-action lawsuit against Encore Capital Group Inc. to proceed, declining to hear the debt-buying giant's claim that such companies should be protected from state laws barring money-lending at unreasonably high interest rates.
The court's decision to return Madden v. Midland Funding to a lower court leaves unresolved a number of important questions for marketplace lenders and other parts of the consumer-finance industry.