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CFPB Exposes Illegal Practices in Consumer Financial Services: What to Know

On July 26, 2023, the Consumer Financial Protection Bureau (“CFPB”) published its periodic Supervisory Highlights, summer edition. These most recent Supervisory Highlights shed light on a range of unfair, deceptive, and...more

FTC Launches Massive “Operation Stop Scam Calls” Initiative: Focusing on “Consent Farm” Lead Generators and Robocallers

On July 18, 2023, the Federal Trade Commission (FTC) announced that the FTC, along with over 100 federal and state law enforcement partners, have launched an extensive campaign named "Operation Stop Scam Calls" to combat the...more

Reminder: TCPA Regulations Impacting Autodialers Come into Effect July 20, 2023

As a reminder, on July 20, 2023, the following revisions, among others, will come into effect regarding the TCPA. One of the essential changes to the TCPA regulations is that residential telephone subscribers will now have...more

Junk Fee Déjà Vu: CFPB Hits Bank of America with Huge $30 Million Penalty for Allegedly Engaging in Deceptive Acts and Practices

On July 11, 2023, the Consumer Financial Protection Bureau (CFPB) issued a consent order against Bank of America (BoA) based on the CFPB’s findings that BoA had engaged in unfair and deceptive trade practices. This consent...more

FTC Goes After Fake Reviews to Protect Consumers: But What About Protecting the Merchants?

On June 30, 2023, the Federal Trade Commission (FTC) introduced a groundbreaking proposal to combat deceptive marketing practices involving fake reviews and endorsements. This proposed rule aims to protect consumers seeking...more

CFPB Slaps Mortgage Payments Processor with $25 Million Penalty for Unauthorized Mortgage Payments

On June 27, 2023, the CFPB reached a consent order with the companies regarding the more than 1.4 million erroneous electronic fund transfer payment instructions initiated by ACI through the ACH Network. The CFPB considers...more

FTC Takes Aggressive Approach Toward Amazon, Alleging Consumer Protection-Type Violations: Are the Lines Between FTC and CFPB...

On June 21, 2023, the Federal Trade Commission (FTC) filed a civil lawsuit against Amazon, alleging the use of "dark patterns" to deceive consumers into enrolling in automatically renewing Prime subscriptions. What is...more

FTC Awards $3.3 Million to Victims of Deceptive Student Loan Debt Relief Scheme

On June 14, 2023, the Federal Trade Commission (FTC) announced that it will be providing over $3.3 million in payments to consumers who fell victim to the deceptive practices of Arete Financial Group (“Arete Financial”), a...more

Money Transmission Legislative & Regulatory Update: Minnesota, Nevada, Georgia, and Texas

Minnesota - On May 24, 2023, the governor of Minnesota signed SF 2744, bringing amendments to various state statutes related to financial institutions. The amendments address the regulation and licensing of money...more

CFPB Warns Consumers to Be Cautious of High-Yield Savings Accounts with FinTech Companies: Perhaps a New Focus for the CFPB

The CFPB is shifting its focus to FinTech and nonbank payment systems, circling back to past frontiers. This recent warning echoes the sentiment of former CFPB’s Director, Richard Cordray, focusing heavily on FinTechs and...more

CFPB Continues to Target Consumer Lending Activity, Imposes $20 Million Penalty

On May 31, 2023, the Consumer Financial Protection Bureau (CFPB) took decisive action against installment lender OneMain Financial, demanding the payment of $20 million in penalties and redress. In the consent order, the...more

FTC Sues VoIP Service Provider for Allegedly Aiding and Abetting Illegal Telemarketing Robocalls

Just last week, Federal Trade Commission (FTC) sued XCast Labs, Inc., a Voice over Internet Protocol (VoIP) provider, for its alleged involvement in facilitating illegal robocalls. Despite receiving multiple warnings, the...more

New York AG Proposes Landmark Legislation to Regulate Crypto: Making a Bold Statement

On May 5, 2023, the New York Attorney General, Letitia James, proposed a “landmark” bill to increase regulations (again) on the cryptocurrency industry, thereby supposedly protecting investors, consumers, and the broader...more

Judge Calls Out TCPA Frequent Filer: “Far From Plaintiff’s First Rodeo”

“This is far from Plaintiff Na’eem Betz’s first rodeo. A frequent pro se filer, he brings this TCPA action against Synchrony Bank for allegedly calling him over 80 times using an autodialer and pre-recorded message,” stated...more

FTC Obtains Temporary Injunction Against Two Student Loan Debt Relief Companies

Last week, the Federal Trade Commission (FTC) obtained temporary restraining orders against two student debt relief companies in the U.S. District Court for the Central District of California. The FTC thereby temporarily...more

FTC Obtains Multiple Orders Banning Credit Card Debt Relief Scheme as Alleged in the Lawsuit

On April 28, 2023, the Federal Trade Commission (FTC) obtains multiple orders banning operators of an alleged credit card debt relief scheme based in Tennessee, who agreed to the court orders which permanently ban them from...more

CFPB Issues Advisory Opinion on Debt Collection Practices

On April 26, 2023, the Consumer Financial Protection Bureau (CFPB) released an advisory opinion to clarify that it is against the law for a debt collector to sue or threaten to sue in order to collect a time-barred debt, as...more

Coinbase Takes Legal Action Against SEC

On April 24, 2023, in a bold move, Coinbase took legal action against the SEC to push for regulatory clarity in the cryptocurrency industry. The company filed a narrow action in federal court, asking the SEC to respond to its...more

US Treasury Releases Risk Assessment Report on Decentralized Finance

On April 6, 2023, the US Department of the Treasury released a report analyzing the risks of decentralized finance (DeFi) and potential vulnerabilities in the United States' anti-money laundering (AML) and countering the...more

FTC Proposed Order: Lifetime Ban for Telemarketing Operators of “Extended Vehicle Warranty” Scams

On March 24, 2023, the Federal Trade Commission (FTC) announced that it settled a case against three companies plus individuals charged with running a telemarketing extended auto warranty scheme that cheated people out of...more

CFPB Releases New Policy Statement on Abusive Practices: What You Need to Know

On April 3, 2023, the Consumer Financial Protection Bureau (CFPB) issued a policy statement summarizing over a decade of precedent and explaining the legal prohibition on abusive conduct in consumer financial markets. The...more

CFPB Proposes Order in Massive Action Against Debt Collection Company

On March 23, 2023, the Consumer Financial Protection Bureau (CFPB) has taken action against one of the largest debt collectors in the United States, Portfolio Recovery Associates (PRA), for various violations of law,...more

CFPB Issues Bulletin to Warn Student Loan Servicers Who Ignore Bankruptcy Court Orders

On March 16, 2023, the Consumer Financial Protection Bureau (CFPB) issued a bulletin cautioning loan servicers about their responsibility to stop any illegal activity related to private student loans that have been discharged...more

CFPB Announces Inquiry into Data Brokers: Seeking Public Input on Business Practices

On March 15, 2023, the Consumer Financial Protection Bureau (CFPB) announced an inquiry into companies that gather and track information about people's personal lives. The apparent purpose of this inquiry is to gain a better...more

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