On March 14, Virginia Governor Glenn Youngkin vetoed House Bill (HB) 418 that would have created a vehicle for class actions in Virginia state courts and would have broadened statutory damages under the Virginia Consumer Protection Act (VCPA).
Report Shows Credit Reporting Issues Dominate CFPB Consumer Complaints
Consumer reporting dominates complaints to the Consumer Financial Protection Bureau (CFPB), according to a new report.
Troutman Pepper Weekly Consumer Financial Services Newsletter – March 11, 2024
To keep you informed of recent activities, below are several of the most significant federal and state events that have influenced the Consumer Financial Services industry over the past week:
The War on Fees Intensifies: Presidential Strike Force and Industry’s Legal Counterattack
As discussed here, earlier this week the Consumer Financial Protection Bureau (CFPB or Bureau) finalized its credit card late fee rule (Final Rule). The Final Rule sets a safe harbor amount for late fees at $8 and eliminates the annual inflation adjustments to that safe harbor amount, for larger card issuers. The timing of the Final Rule’s announcement, just days before the State of Union address, did not go unnoticed. President Biden highlighted this development in his speech, emphasizing his administration’s commitment to eliminating so-called hidden fees.
CFPB Issues Final Credit Card Late Fee Rule
We discussed the Consumer Financial Protection Bureau’s (CFPB or Bureau) credit card late fee proposed rule here 13 months ago, and today, the Bureau announced that it has finalized the rule (Final Rule) setting a safe harbor amount for late fees at $8 and eliminating the annual inflation adjustments to that safe harbor amount, for larger card issuers. Notably, due to industry pushback during the comment period, the Final Rule does not codify the proposal that late fees must not exceed 25% of the minimum payment. The Final Rule will take effect 60 days after publication in the Federal Register.
Troutman Pepper Weekly Consumer Financial Services Newsletter – March 4, 2024
To keep you informed of recent activities, below are several of the most significant federal and state events that have influenced the Consumer Financial Services industry over the past week:
January Consumer Litigation Filings: Everything Way Up
According to a recent report by WebRecon, court filings under the Fair Credit Reporting Act (FCRA), Fair Debt Collection Practices Act (FDCPA), Telephone Consumer Protection Act (TCPA), and complaints filed with the Consumer Financial Protection Bureau (CFPB) were up double digits percentages from December 2023. The biggest jump was in TCPA filings, which increased by 78.6%!
Comment Period on CFPB’s Auto Finance Data Project Closing Soon
Comments on the Consumer Financial Protection Bureau’s (CFPB or Bureau) proposal to collect data from auto finance businesses that acquire or originate as few as 500 financing transactions a year are due by March 25, 2024.
Avoiding Auto Finance Pitfalls Under the FTC’s New CARS Rule
In this insightful episode of The Consumer Finance Podcast, Chris Willis is joined by Partners Brooke Conkle and Alan Wingfield, as they delve into the topic of regulatory risk and litigation exposure for auto finance companies under the new FTC CARS Rule. Tune in for a deep dive into preventative strategies that can help your auto finance company avoid regulatory pitfalls under the new rule.
Troutman Pepper Weekly Consumer Financial Services Newsletter – February 26, 2024
To keep you informed of recent activities, below are several of the most significant federal and state events that have influenced the Consumer Financial Services industry over the past week: