Like most industries today, Consumer Finance Services businesses are being significantly impacted by the novel coronavirus (COVID-19). Troutman Pepper has developed a dedicated COVID-19 Resource Center to guide clients through this unprecedented global health challenge. We regularly update this site with COVID-19 news and developments, recommendations from leading health organizations, and tools that businesses can use free of charge.

To help you keep abreast of relevant activities, below find a breakdown of some of the biggest COVID-19 driven events at the federal and state levels to impact the Consumer Finance Services industry this past week:

Federal Activities

State Activities

Privacy and Cybersecurity Activities

Federal Activities:

  • On February 25, the Federal Reserve Board announced that in March 2022, it will begin a statistical study of household finances, the “Survey of Consumer Finances,” that will provide policymakers with important insight into the economic condition of a broad cross section of American families. For more information, click here.
  • On February 24, the U.S. Department of the Treasury released demographic data, showing that funds delivered to millions of households through its Emergency Rental Assistance program are reaching underserved and vulnerable communities. For more information, click here.
  • On February 23, the Consumer Financial Protection Bureau (CFPB) outlined possible options for upcoming rulemaking to prevent algorithmic bias in automated home valuation models. The options now will be reviewed to determine their potential impact on small businesses. For more information, click here.
  • On February 23, the Federal Trade Commission (FTC) announced it has provided the CFPB an annual summary of its activities, enforcing the Equal Credit Opportunity Act and Regulation B. For more information, click here.
  • On February 22, the FTC released data, showing that consumers reported losing more than $5.8 billion to fraud in 2021, an increase of more than 70% over the previous year. For more information, click here.
  • On February 22, the CFPB, the Board of Governors of the Federal Reserve System, the Federal Deposit Insurance Corporation, the National Credit Union Administration, the Office of the Comptroller of the Currency, the Consumer Financial Protection Bureau, the Department of Housing and Urban Development, the Department of Justice, and the Federal Housing Finance Agency released an interagency statement “to remind creditors of the ability under Equal Credit Opportunity Act and Regulation B to establish special purpose credit programs to meet the credit needs of specific classes of persons.” For more information, click here.

State Activities:

  • On February 23, the Wisconsin State Legislature passed a consumer data privacy measure that would give consumers the right to know what personal data is being collected about them and to request that the data be correct or deleted. For more information, click here.
  • On February 23, Virginia Attorney General Jason Miyares, as part of a bipartisan coalition of 49 attorneys general, has “called on the Federal Trade Commission to adopt a national rule to target impersonation scams.” Attorney General Miyares stated, “Too often, Virginia businesses and consumers fall victim to sophisticated impersonation scammers trying to steal money, data, and personal information. That’s why I’ve joined a bipartisan coalition of 48 other attorneys general to encourage the Federal Trade Commission to crack down on fraud and create tougher anti-scamming rules that will protect Virginians.” For more information, click here.
  • On February 22, Connecticut Attorney General William Tong issued a consumer warning on “common scams on dating apps that have swindled Americans out of $1.3 billion in the last five years.” According to the press release, the FTC states that “dating scams are one of the costliest scams every year,” with victims losing “$547 million to romance scams [in 2021] — up 80% since 2020.” Recovery of money can be difficult from these scams, and the AG’s office provides tips to avoid becoming a victim. For more information, click here.
  • On February 18, Texas Attorney General Ken Paxton issued two civil investigative demands to TikTok, Inc. According to the press release, the “investigation focuses on TikTok’s potential facilitation of human trafficking and child privacy violations, as well as other potential unlawful conduct.” Attorney General Paxton stated, “I will get to the bottom of these concerns and make sure Big Tech doesn’t interfere with the safety and security of Texans.” For more information, click here.

Privacy and Cybersecurity Activities:

  • State Senator Joseph Rafferty (D-ME) introduced the Maine Consumer Privacy Act, which would provide consumer rights, including the right to request information, the right to deletion, and the right to opt out of the sale of their personal information. It would not provide a private right of action. The bill was referred to the Innovation, Development, Economic Advancement, and Business Committee. To read the bill, click here.
  • State Senator Kirk Cullimore (R-UT) introduced the Utah Consumer Privacy Act, which would provide consumer rights, including the right to access and delete information and opt out of the collection and use of personal data for certain purposes. It also would impose an obligation on businesses to safeguard consumers’ personal data, but would not provide a private right of action. The bill was referred to the Senate Revenue and Taxation Committee. To read the bill, click here.
  • The Wisconsin State Assembly passed Assembly Bill 957 (59-37), a Consumer Privacy Act that provides consumers the right to know what personal data is being collected, as well as the right to correct and the right to delete. It is similar to the Virginia Consumer Protection Act, which was passed in 2021. The bill does not include a private right of action. The Wisconsin State Senate now will consider the bill. To read the bill, click here.
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Photo of Ethan G. Ostroff Ethan G. Ostroff

Ethan specializes in the defense of consumer actions, including class and mass actions, general business litigation, as well as regulatory compliance.

Photo of Chris Willis Chris Willis

Chris is the co-leader of the Consumer Financial Services Regulatory practice at the firm. He advises financial services institutions facing state and federal government investigations and examinations, counseling them on compliance issues including UDAP/UDAAP, credit reporting, debt collection, and fair lending, and defending…

Chris is the co-leader of the Consumer Financial Services Regulatory practice at the firm. He advises financial services institutions facing state and federal government investigations and examinations, counseling them on compliance issues including UDAP/UDAAP, credit reporting, debt collection, and fair lending, and defending them in individual and class action lawsuits brought by consumers and enforcement actions brought by government agencies.

Chris also leverages insights from his litigation and enforcement experience to help clients design new products and processes, including machine learning marketing, fraud prevention and underwriting models, product structure, advertising, online application flows, underwriting, and collection and loss mitigation strategies.

Chris brings a highly practical focus to his legal advice, informed by balancing a deep understanding of the business of consumer finance and the practical priorities of federal and state regulatory agencies.

Chris speaks frequently at conferences across the country on consumer financial services law and has been featured in numerous articles in publications such as the Wall Street Journal, the New York Times, the Washington PostAmerican BankerNational Law JournalBNA Bloomberg, and Bank Safety and Soundness Advisor.

Photo of Robyn Lin Robyn Lin

Robyn is a privacy and data security attorney who focuses on helping clients understand and maintain data compliance.

Photo of Graham Dean Graham Dean

Graham is an associate in the firm’s Cybersecurity, Information Governance, and Privacy Practice. In this role, Graham assists clients across various industries with issues related to data privacy. He has experience handling matters relating to the CCPA, CPRA, FCRA, CDPA, CPA, PIPA, LGPD…

Graham is an associate in the firm’s Cybersecurity, Information Governance, and Privacy Practice. In this role, Graham assists clients across various industries with issues related to data privacy. He has experience handling matters relating to the CCPA, CPRA, FCRA, CDPA, CPA, PIPA, LGPD, and a plethora of other privacy and banking secrecy laws in the Americas.

Photo of Elizabeth Briones Elizabeth Briones

Elizabeth Briones is an associate in the firm’s Consumer Financial Services practice with a focus on complex litigation, professional liability, and product liability. 

Photo of Ronald I. Raether, Jr. Ronald I. Raether, Jr.

Ron understands technology and specializes in responding to data integrity events (breach response) and advising companies on maximizing data use through multiple regulatory environments.

Photo of Jed Komisin Jed Komisin

John E. “Jed” Komisin defends clients engaged in civil litigation. He has significant courtroom experience and works with his clients to find comprehensive solutions to their legal issues.

Photo of Edgar Vargas Edgar Vargas

Edgar Vargas is a Certified Information Privacy Professional (CIPP/US). He assists clients on compliance and litigation issues, including issues regarding privacy and cybersecurity laws. He is fluent in Spanish, allowing him to effectively communicate with and serve Spanish speaking clients.

Photo of Alan D. Wingfield Alan D. Wingfield

Alan Wingfield is a partner in the firm’s Consumer Financial Services practice, with a focus on Financial Services Litigation and consumer law compliance counseling. Alan has represented businesses in many venues nationally in class action and individual consumer litigation. Alan’s practice includes compliance…

Alan Wingfield is a partner in the firm’s Consumer Financial Services practice, with a focus on Financial Services Litigation and consumer law compliance counseling. Alan has represented businesses in many venues nationally in class action and individual consumer litigation. Alan’s practice includes compliance counseling to help businesses with the myriad federal and state consumer protection laws and laws regulating financial services companies.