InfoBytes, July 20, 2012 - A Weekly In-depth review of news & developments in the financial services industry.

more+
less-

Topics In This Issue:

- MORTGAGES

- BANKING

- CONSUMER FINANCE

- SECURITIES

- E-COMMERCE

- PRIVACY/DATA SECURITY

- CREDIT CARDS

- CRIMINAL ENFORCEMENT

Excerpt From Federal issues:

FEDERAL ISSUES

CFPB Announces First Public Enforcement Action; Issues Related Compliance Bulletin. On July 18, the CFPB announced its first public enforcement action - a Consent Order entered into by a major credit card issuer to resolve allegations that the issuer's vendors deceptively marketed ancillary products such as payment protection and credit monitoring. The OCC made a corresponding enforcement announcement and released a Cease and Desist Order and Civil Money Penalty to resolve related charges. Under the CFPB order, the issuer will refund approximately $140 million to roughly two million customers, and will pay a $25 million penalty. The OCC order requires restitution of approximately $150 million (of which $140 million overlaps with the CFPB order) and an additional $35 million civil money penalty. Under both agencies' actions, the issuer is prohibited from selling and marketing certain ancillary products until it obtains approval to do so from the regulators, and the issuer must take specific actions to enhance compliance with consumer financial laws.

Please see full Newsletter below for more information.

LOADING PDF: If there are any problems, click here to download the file.

Published In: Consumer Protection Updates, Finance & Banking Updates, Privacy Updates, Residential Real Estate Updates, Securities Updates

DISCLAIMER: Because of the generality of this update, the information provided herein may not be applicable in all situations and should not be acted upon without specific legal advice based on particular situations.

© BuckleySandler LLP | Attorney Advertising

Don't miss a thing! Build a custom news brief:

Read fresh new writing on compliance, cybersecurity, Dodd-Frank, whistleblowers, social media, hiring & firing, patent reform, the NLRB, Obamacare, the SEC…

…or whatever matters the most to you. Follow authors, firms, and topics on JD Supra.

Create your news brief now - it's free and easy »

CONNECT

BuckleySandler attorneys are among the leading financial services law practitioners in the country... View Profile »


Follow BuckleySandler LLP :

Reporters on Deadline