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:
Nevada Federal Court Grants Summary Judgment in Debt Collector’s Favor in FDCPA and TCPA Case Alleging Attorney Representation and Use of an ATDS
On September 9, the U.S. District Court for the District of Nevada granted summary judgment in favor of a debt collector in a case involving alleged violations of the Fair Debt Collection Practices Act (FDCPA) and the Telephone Consumer Protection Act (TCPA) based on phone calls the plaintiff received related to her medical debt.
U.S. Senator Rounds Introduces Legislation Aimed at Fostering AI Innovation in the Financial Services Industry
On August 27, U.S. Senator Mike Rounds (R-SD) introduced the “Unleashing AI Innovation in Financial Services Act” (S. 4951), a bill aimed at fostering artificial intelligence (AI) innovation within the financial services industry. According to his press release, this legislation is part of a broader set of five bipartisan AI bills that Senator Rounds has released for consideration by Congress this fall.
Troutman Pepper Weekly Consumer Financial Services Newsletter – September 12, 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:
SEC Cybersecurity Incidents Disclosures: Materiality, Decryptors, and Ransom Payments
Dear Mary,
I work for a public company that recently experienced a ransomware attack. Fortunately, we were able to restore our business operations quickly by obtaining a decryption key from the threat actor. Given that we managed to get back up and running so swiftly, do we still need to determine whether the incident is material and report it?
Sincerely,
– Concerned Executive
FTC CARS Rule Litigation: Fifth Circuit Sets Oral Argument
On October 9, 2024, at 4 p.m. CT, the Fifth Circuit will hear oral arguments in the ongoing litigation challenging the FTC’s Combating Auto Retail Scams (CARS) Rule. The National Automobile Dealers Association (NADA) and the Texas Automobile Dealers Association (TADA) have raised significant procedural and data-based objections to the rule, which purportedly aims to curb deceptive sales practices and eliminate “junk fees” in the car-buying process.
Troutman Pepper Weekly Consumer Financial Services Newsletter – September 6, 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:
Seventh Circuit Provides “How To” Successfully Present Consumer Arbitration Agreements
A recent ruling by the U.S. Court of Appeals for the Seventh Circuit affirming a decision compelling arbitration provides a “how to” guideline for using online terms and conditions to form a binding agreement.
League of Southeastern Credit Unions and Virginia Credit Union League Announce Merger Plans
Yesterday, the League of Southeastern Credit Unions (LSCU) and the Virginia Credit Union League (VCUL) announced plans to merge, marking the first state league consolidation since 2022. According to the leagues’ combined website, this strategic partnership will provide a larger, more diverse membership base and will have a stronger voice in industry discussions and advocacy efforts. Additionally, by implementing a modernized dues formula, the leagues’ members will benefit from increased efficiencies and cost savings.
CFPB Orders Mortgage Lender to Pay $2.25 Million for Allegedly Deceiving Servicemembers and Veterans
Yesterday, the Consumer Financial Protection Bureau (CFPB or Bureau) announced it had entered into a consent order with NewDay USA, a Florida-based non-bank direct mortgage lender, over allegations that the lender misled veterans and military families about the costs associated with cash-out refinance loans. According to the Bureau, NewDay USA gave misleading and incomplete cost comparisons to borrowers refinancing in North Carolina, Maine, and Minnesota, which made the company’s loans appear less expensive relative to the borrowers’ existing mortgages.