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As discussed here, yesterday the Consumer Financial Protection Bureau (CFPB or Bureau) finalized a rule aimed at removing an estimated $49 billion in medical bills from the consumer reports of approximately 15 million Americans. This rule amends Regulation V, which implements the Fair Credit Reporting Act (FCRA), to eliminate the exception that previously allowed lenders to use certain medical information in making lending decisions. The rule also prohibits consumer reporting agencies (CRAs) from including medical debt information on consumer reports and credit scores sent to lenders. We anticipated that legal challenges would follow, asserting that the rule is arbitrary, capricious, and promulgated in violation of the Administrative Procedure Act (APA).

Recently, the Eastern District of Kentucky denied a motion to dismiss under the Fair Credit Reporting Act (FCRA) after finding the plaintiffs alleged sufficient facts to support a reasonable inference that credit reports were pulled without a permissible purpose.

This article was republished on insideARM on January 9, 2025.

On January 7, the Consumer Financial Protection Bureau (CFPB or Bureau) finalized its rule aimed at removing an estimated $49 billion in medical bills from the consumer reports of approximately 15 million Americans. Specifically, the Bureau’s rulemaking as finalized removes an existing exception in Regulation V that permitted lenders to obtain and use information on medical debts. The final rule is scheduled to take effect 60 days after its publication in the Federal Register. However, the upcoming change in administration may very well impact its implementation.

On January 3, the Federal Trade Commission (FTC) issued a press release announcing that accessiBe Inc. and accessiBe Ltd. (collectively, accessiBe) agreed to pay $1 million to settle allegations of deceptive advertising practices in violation of the FTC Act. Specifically, the FTC’s complaint alleged that accessiBe misrepresented the artificial intelligence (AI) capabilities of its website accessibility tool, accessWidget, to make websites compliant with the Web Content Accessibility Guidelines (WCAG). The FTC further alleged that accessiBe paid for reviews on third-party websites that were formatted to appear as the opinions of impartial authors and publications and failed to disclose material connections to such online reviewers.

Last week, the U.S. Department of the Treasury and the Internal Revenue Service (IRS) released final regulations that significantly impact the reporting requirements for brokers involved in digital asset transactions. The stated aim of the new rules, which are part of the Biden-Harris Administration’s implementation of the bipartisan Infrastructure Investment and Jobs Act, is to streamline tax reporting and ensure compliance within the decentralized finance (DeFi) sector. The regulations will become effective 60 days after their publication in the Federal Register.

In a significant enforcement action, the Federal Trade Commission (FTC) and the Illinois Attorney General have reached a $20 million settlement with Leader Automotive Group and its Canadian parent company, AutoCanada, over allegations of widespread consumer fraud. If entered, this settlement will be the largest monetary judgment the FTC has secured against an auto dealer.