A consumer who sued a debt collector over an inaccurate statement as to the amount of a settlement offer recently saw his complaint dismissed for lack of standing. In Allgire v. HOVG, LLC, the plaintiff was contacted...more
The CFPB issued its monthly report on consumer complaints this week. The report is a high level snapshot of trends in consumer complaints. The Report provides a summary of the volume of complaints by product category, by...more
3/31/2017
/ Banking Sector ,
Consumer Complaint System ,
Consumer Financial Products ,
Consumer Financial Protection Bureau (CFPB) ,
Credit Card Surcharges ,
Credit Cards ,
Debt Collection ,
Mortgages ,
Regulatory Oversight ,
Rewards Programs ,
Student Loans
The CFPB confirmed credit reporting remains a high priority for the agency by issuing a special Supervisory Highlights devoted to credit reporting earlier this month. The report was generally complimentary of the strides...more
The CFPB issued its monthly report on consumer complaints this month, providing a high-level snapshot of the recent trends in consumer complaints. The Report provides a summary of the volume of complaints by product category...more
In a brief opinion, the Eleventh Circuit recently examined Regulation X’s requirement that a loan servicer provide a written response acknowledging receipt of a written request for information (“RFI”) pursuant to 12 C.F.R....more
A summons which stated the consumer had thirty days to answer a debt collection suit did not violate the FDCPA when the state rules of civil procedure only provided for twenty days. In Bryant v. Kass Shuler, P.A., the...more
A district court from New York recently ruled that even assuming a creditor’s initial TILA disclosures falls short under the statutory requirements, the plaintiff must show an injury in fact in order to have standing under...more
3/13/2017
/ Article III ,
Consumer Lenders ,
Credit Cards ,
Disclosure Requirements ,
Fees ,
Financial Institutions ,
Injury-in-Fact ,
Motion to Dismiss ,
Retailers ,
Standing ,
Truth in Lending Act (TILA)
A recent district court opinion from Michigan makes clear that statutory violations of the FDCPA do not absolve a plaintiff from the need to show a concrete injury in order to establish Article III standing. In Johnston v....more
The CFPB issued its monthly report on consumer complaints last week. The report is a high-level snapshot of trends in consumer complaints. The Reportprovides a summary of the volume of complaints by product category, by...more
The D.C. Circuit has vacated its prior order in PHH Corporation v. Consumer Financial Protection Bureau and ordered the matter be reheard en banc. The parties have been specifically asked to address the following issues in...more
2/21/2017
/ Administrative Law Judge (ALJ) ,
Administrative Proceedings ,
Appointments Clause ,
Article II ,
Banking Sector ,
Constitutional Challenges ,
Consumer Financial Protection Bureau (CFPB) ,
Dodd-Frank ,
En Banc Review ,
PHH Corp. v CFPB ,
Removal For-Cause ,
RESPA ,
Single Director ,
Statutory Interpretation ,
Vacated
The CFPB continues to flex its muscle and expand its reach, this time punishing a prepaid card provider and its vendor for a conversion to a new system that did not go as planned. The consent order, which was entered into...more
The CFPB has issued its monthly complaint report and is shining its spotlight on mortgage products. The Monthly Complaint Report provides a high level snap shot of trends in consumer complaints, using a three month rolling...more
2/17/2017
/ Banking Sector ,
Consumer Financial Products ,
Consumer Financial Protection Bureau (CFPB) ,
Consumer Lenders ,
Debt Collection ,
Escrow Accounts ,
Financial Institutions ,
Loans ,
Mortgage Lenders ,
Mortgage Servicers ,
Mortgages ,
Prepaid Payment Products ,
Real Estate Market ,
Student Loans
The Ninth Circuit recently weighed in on the limitations of prior express consent and revocation under the Telephone Consumer Protection Act (the “TCPA”). In Van Patten v. Vertical Fitness Group, LLC, the consumer provided...more
2/14/2017
/ Article III ,
Corporate Counsel ,
FCC ,
Gym Memberships ,
Injury-in-Fact ,
Marketing ,
Prior Express Consent ,
Putative Class Actions ,
Revocation ,
Standing ,
Summary Judgment ,
TCPA ,
Telecommunications ,
Text Messages
A district court out of Missouri has served up a reminder as to the limitations of a motion to dismiss based upon subject matter jurisdiction. In May v. Consumer Adjustment Co., the consumer filed an FDCPA complaint is state...more
2/13/2017
/ Article III ,
Debt Collection ,
Demand Letter ,
FDCPA ,
Financial Institutions ,
Financial Services Industry ,
Injury-in-Fact ,
Motion to Dismiss ,
Spokeo v Robins ,
Standing ,
Subject Matter Jurisdiction
A Virginia bankruptcy court recently ruled that an objection to a proof of claim was not barred by the doctrine of res judicata when an order of confirmation was entered prior to the objection being filed. In re Haskins, No....more
The CFPB recently entered into consent orders with several Citibank subsidiaries attacking their mortgage servicing practices during the early days of the Mortgage Servicing Rules despite the CFPB’s assurances that early...more
A district court from New York recently ruled that even assuming a creditor’s initial TILA disclosures fell short under the statutory requirements, the plaintiff must show an injury in fact in order to have standing under...more
2/3/2017
/ Article III ,
Banking Sector ,
Comenity Bank ,
Credit Cards ,
Disclosure Requirements ,
Fees ,
Injury-in-Fact ,
Lenders ,
Motion to Dismiss ,
Nordstrom Inc. ,
Retail Market ,
Retailers ,
Standing ,
Truth in Lending Act (TILA)
A demand letter sent by a debt collector was not doomed by an incorrect statement of the creditor’s name. In Santibanez v. National Credit Systems, Inc., the debt collector’s initial letter stated as follows...more
The CFPB recently released its findings from its Survey of Consumer Views on Debt. The report is of limited value as it contains a relatively small sampling of consumers. 10,876 consumers were selected based upon...more
A recent decision from the Northern District of Georgia serves as a reminder to both consumers and furnishers of information as to the furnisher’s obligation to reasonably investigate a dispute under the federal Fair Credit...more
The CFPB’s concern with incentives and overdrafts continues and has resulted in a lawsuit filed against a Minnesota based TCF National Bank. In the lawsuit, the CFPB alleges that TCF National Bank violated the UDAAP...more
1/24/2017
/ Banks ,
Consumer Financial Protection Bureau (CFPB) ,
Consumer Protection Laws ,
EFTA ,
Enforcement Actions ,
Financial Institutions ,
Incentive Awards ,
Informed Consent ,
Opt-In ,
Overdraft Fees ,
Regulation E ,
UDAAP
The CFPB recently issued its third consent order involving a debt collection law firm and appears to be expanding its interpretation of “meaningful involvement”. The order, which was entered against two related debt...more
Marketing practices remain at the forefront of CFPB activity as evidenced by two recent consent orders entered into with TransUnion and Equifax. The consent orders combine to require the CRAs to pay more than $17.6 million...more
1/17/2017
/ Advertising ,
Civil Monetary Penalty ,
Compliance Management Systems ,
Consent Order ,
Consumer Financial Protection Bureau (CFPB) ,
Credit Reporting Agencies ,
Disclosure Requirements ,
Equifax ,
Failure To Disclose ,
Informed Consent ,
Marketing ,
Restitution ,
TransUnion ,
UDAAP
A New York District Court recently addressed the issue of whether the FDCPA requires passive debt buyers to personally register disputes or whether they can delegate that obligation to their third party debt...more
A decision from a New Jersey district court serves as a reminder that call volume alone will not support a violation of the FDCPA. In Chisholm v. Afni, Inc., the issue before the court was “whether a series of 18 telephone...more