By Lydia Beyoud
The Trump-led CFPB is evaluating how it brings administrative enforcement actions against the financial industry companies it regulates, such as debt collectors, payday lenders, and mortgage brokers.
The Consumer Financial Protection Bureau published a notice Jan. 31 seeking public comment on “the benefits and impacts of its use of administrative adjudications, and how its existing process may be improved.”
The announcement came the same day a federal appeals court judge issued a decision in the PHH Corp. v. Consumer Financial Protection Bureau case, in which the CFPB, under its previous director, Richard Cordray, levied a $109 million administrative fine against a New Jersey mortgage company.
Administrative adjudications are adversarial proceedings brought before an administrative law judge. The CFPB director has ultimate decision in whether to act on the judge’s recommendation.
The request for information is the second in a series the CFPB has issued under Acting Director Mick Mulvaney, who was appointed by President Donald Trump in November. The first was a Jan. 26 RFI on the agency’s civil investigative demands.
The next RFI in the series will address other aspects of the agency’s enforcement processes, and will be issued next week, the CFPB said.
The agency’s enforcement actions have been roundly criticized by congressional Republicans, including Mulvaney when he served as a South Carolina congressman before joining the Trump administration as director of the Office of Management and Budget.
Mulvaney said in a Jan. 24 staff memo that he planned to take the CFPB’s enforcement priorities in a new direction, with a pivot to focusing on debt collectors and less on other sectors. Future enforcement cases would be based on protecting consumers, as well as financial institutions, Mulvaney said.
To contact the reporter on this story: Lydia Beyoud in Washington at firstname.lastname@example.org
To contact the editor responsible for this story: Michael Ferullo at email@example.com
Copyright © 2018 The Bureau of National Affairs, Inc. All Rights Reserved.
All Bloomberg BNA treatises are available on standing order, which ensures you will always receive the most current edition of the book or supplement of the title you have ordered from Bloomberg BNA’s book division. As soon as a new supplement or edition is published (usually annually) for a title you’ve previously purchased and requested to be placed on standing order, we’ll ship it to you to review for 30 days without any obligation. During this period, you can either (a) honor the invoice and receive a 5% discount (in addition to any other discounts you may qualify for) off the then-current price of the update, plus shipping and handling or (b) return the book(s), in which case, your invoice will be cancelled upon receipt of the book(s). Call us for a prepaid UPS label for your return. It’s as simple and easy as that. Most importantly, standing orders mean you will never have to worry about the timeliness of the information you’re relying on. And, you may discontinue standing orders at any time by contacting us at 1.800.960.1220 or by sending an email to firstname.lastname@example.org.
Put me on standing order at a 5% discount off list price of all future updates, in addition to any other discounts I may quality for. (Returnable within 30 days.)
Notify me when updates are available (No standing order will be created).
This Bloomberg BNA report is available on standing order, which ensures you will all receive the latest edition. This report is updated annually and we will send you the latest edition once it has been published. By signing up for standing order you will never have to worry about the timeliness of the information you need. And, you may discontinue standing orders at any time by contacting us at 1.800.372.1033, option 5, or by sending us an email to email@example.com.
Put me on standing order
Notify me when new releases are available (no standing order will be created)