On July 1, the Consumer Financial Protection Bureau announced that it had agreed to consent orders in pending lawsuits against two sets of defendants – Affinion Group Holdings Inc. and its subsidiaries (“Affinion”), as well as Intersections, Inc. (“Intersections”) – over allegations that the vendors had unfairly charged consumers for credit card add-on benefits that
FTC and Florida AG File Suit to Halt Robocalls from “Card Member Services”
The FTC and Florida Attorney General Pam Bondi obtained an ex parte temporary restraining order from the United States District Court for the Middle District of Florida on June 22, temporarily halting several Orlando-based companies from allegedly making illegal robocalls designed to trick consumers nationwide into paying for “worthless credit card interest rate reduction programs.”
FTC Sending Nearly $4 Million to Consumers Extorted in Credit Card Debt Collection Scam
As we discussed last year, the Federal Trade Commission announced in May 2014 that it settled charges against Asset Capital and Management Group for illegally extracting payments from consumers for credit card debt that it had purchased from creditors.
In addition to banning the defendants – which includes individuals behind the scheme, a network
ACA Provides Commentary to CFPB on Credit Card Market
On June 17, ACA International – a trade group representing collection agencies and attorneys, creditors, debt buyers, and industry service providers – presented substantive comments to the Consumer Financial Protection Bureau in response to the agency’s recent request for information related to the consumer credit card market. The CFPB’s request contained four debt collection questions,
FCC Passes New Declaratory Rule Clarifying and Interpreting Multiple, Key Provisions of the TCPA in a Manner That is Generally Unfavorable to Defendants
On June 18, 2015, the Federal Communications Commission (“FCC”) voted 3-2 to approve an order that promises to have major and negative impacts on companies who use modern telephone technology to text and call consumers.
The stark increase in the number of lawsuits that were filed under the Telephone Consumer Protection Act (“TCPA”) has been
ACA Provides Commentary to CFPB on Credit Card Market
On June 17, ACA International – a trade group representing collection agencies and attorneys, creditors, debt buyers, and industry service providers – presented substantive comments to the Consumer Financial Protection Bureau in response to the agency’s recent request for information related to the consumer credit card market. The CFPB’s request contained four debt collection questions,
CUNA and ABA Join Chorus of Objections Against CFPB’s Overdraft Information Requests
Piggy-backing on the recent criticisms lodged by the Independent Community Bankers of America, the Credit Union National Association (“CUNA”) and American Banks Association (“ABA”) recently joined the chorus of objections against the CFPB’s burdensome requests to data processors for information regarding bank and credit union overdraft policies. In November 2014, the CFPB ordered Fiserv, FIS
CFPB Argues that Guarantor is Credit Applicant in Supreme Court Amicus Brief
According to a Supreme Court amicus brief filed last month by the Consumer Financial Protection Bureau, consumers who are required to guarantee their spouses’ credit applications are themselves credit applicants who are protected from discrimination under the Equal Credit Opportunity Act and Regulation B.
The CFPB claims that courts should defer to Regulation B’s “reasonable”
Connecticut Attorney General Applauds General Assembly’s Passage of Data Breach Notification Legislation
On June 1, the Connecticut legislature passed a bill that would require businesses exposed to a data breach to notify victims within 90 days of the breach. The bill would also require businesses to provide victims with one year of identity-theft protection if their Social Security number is compromised. Senate Bill 949, An Act
Small Banks Criticize CFPB’s Information Requests to Data Processors on Overdraft Fees
On June 1, 2015, the Independent Community Bankers of America (“ICBA”) heavily criticized the CFPB’s decision to lodge information requests to data processing firms regarding checking account overdraft fees, particularly because of their alleged high costs and unwarranted breadth. The requests are targeted at information on community bank and credit union overdraft plans and seek