CFPB Publishes Latest Regulatory Agenda

Financial Services Law

The Consumer Financial Protection Bureau (CFPB) published its latest semi-annual regulatory agenda in the Federal Register on January 31, 2022. As expected, the CFPB will continue to focus on various statutorily mandated rule-makings, some of which date back to the 2010 passage of the Dodd-Frank Act, which created the CFPB.

  • The regulatory agenda indicates that the CFPB will continue pushing forward with its proposed rules implementing Section 1071 of the Dodd-Frank Act, mandating data collection with respect to small-business lending under the Equal Credit Opportunity Act. More than 10 years after the Dodd-Frank Act’s passage, and as a result of the settlement of a lawsuit alleging that the CFPB had taken too long to issue implementing regulations, the CFPB issued a notice of proposed rulemaking to implement Section 1071 in September 2021. The comment period closed on January 6, 2022.
  • The CFPB also states in the latest regulatory agenda that it is “working on a rulemaking” under Section 1033 of the Dodd-Frank Act that will “address the availability of consumer financial account data in electronic form,” which the CFPB believes “can lead to competitive, consumer-friendly markets, while recognizing the importance of ensuring the safety and security of consumer account data.” The CFPB released a Notice of Proposed Rulemaking in November 2020. 
  • A 2018 law required the CFPB to adopt regulations under Regulation Z relating to the penalties, disclosures and implementation of an ability-to-repay requirement in connection with Property Assessed Clean Energy Loans (PACE) loans. The CFPB released an Advance Notice of Proposed Rulemaking in this regard in March 2019.

While the CFPB is seemingly still catching up on more than a decade’s worth of regulatory backlog, it notes that the spring 2022 regulatory agenda will reflect the priorities of recently confirmed Director Rohit Chopra. More significant shifts in CFPB regulatory policy are likely to become apparent at that time. More importantly, we expect that in the near term, real “regulatory” action will continue to be conducted through the CFPB’s continuing practice of engaging in “regulation by enforcement” and an expansive view of what consumer activities are financial transactions subject to the CFPB’s jurisdiction. With or without these regulations, anyone participating in the financial system can expect the CFPB to act vigorously in connection with any acts or practices that it believes to be inappropriate.

If you have any questions about these new developments and how they may impact your company, please contact any of the Manatt Financial Services professionals below:

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