‘‘Happy, Happy, Happy’’ is the phrase used by that towering philosopher Phil Robertson, from the TV show Duck Dynasty. You can be sure no bankers utter that phrase whenever a regulatory agency first breathes a word about possible Unfair or Deceptive Acts or Practices (UDAP) issues. But, you can be equally sure that federal agency enforcement attorneys and safety and soundness staff frequently use Phil’s phrase. After all, they ‘‘know’’ that banks want to quickly resolve UDAP issues and are unlikely to engage in litigation.

In light of recent settlements, we now know that the OCC and the FDIC are examining large banks for compliance with a consumer protection law, UDAP. What happened? Wasn’t that supposed to be the job of the CFPB?

Originally published in BNA’s Banking Report on August 27, 2013.