The Federal Trade Commission’s annual report on enforcement actions involving the Electronic Fund Transfer Act (EFTA), the Truth in Lending Act (TILA) and the Consumer Leasing Act (CLA) highlights seven new or ongoing cases involving EFTA issues in 2015.
The FTC does not have rulemaking authority under the EFTA but the report notes that in 2015 the FTC amended the Telemarketing Sales Rule, which addresses issues related to the EFTA.
"Among other things, the amended rule, for telemarketing transactions, bans the use of four payment methods that are favored by con artists and scammers that provide little or no systematic monitoring to detect fraud," it states.
The report, which was submitted to the Consumer Financial Protection Bureau, also addresses the FTC’s enforcement actions related to non-mortgage credit - including automobile purchases and financing and payday lending, mortgage loan advertising and forensic audit scams, according to a news release. It addresses rulemaking, research and policy development related to truth in lending and consumer and business education regarding truth in lending requirements.
The FTC reported that in 2015 it also conducted research and participated in policy work and educational activities involving EFTA and Regulation E, which governs many types of electronic payments.The report states that the FTC took part in law enforcement actions against those who market or extend non-mortgage credit last year. The actions included automobile financing, car title loans, payday loans and financing of consumer electronics.
The FTC kept its authority to enforce regulations under EFTA, TILA and CLA when the Dodd-Frank Act was signed into law in July 2010. The law also gave the FTC the authority to "enforce any CFPB rules applicable to entities with the FTC’s jurisdiction, which include most providers of financial services that are not banks, thrifts or federal credit unions."
The FTC has continued to coordinate certain law enforcement, rulemaking and other activities with the CFPB in accordance with the memorandum of understanding the agencies agreed to in 2012 and reauthorized in 2015.