CFPB Continues Grassroots Methods to Obtain Complaints from Borrowers

by Baker Donelson

In mid-January of this year, Richard Cordray addressed mayors from around the country and explained the many ways that the CFPB is making it easier for disgruntled borrowers to lodge consumer complaints through the CFPB. At the U.S. Conference of Mayors on January 14, 2014, Cordray assured the crowd that the CFPB is making every effort to help prevent constituents from "feel[ing] helpless because they stand alone against a large and powerful financial company." The remarks Cordray prepared for the mayors double as a helpful overview of the many new methods by which borrowers can lodge complaints against mortgage servicers – in fact, some methods allow borrowers to file a complaint in less than 30 minutes. Cordray focused on two ways that U.S. mayors could use the CFPB's resources to help their constituents.

First, and perhaps most notably, Cordray requested that mayors consider participating in a pilot program launched in February 2013. Called the "3-1-1 pilot partnership," the CFPB has partnered with several major cities throughout the U.S. – including Boston, Newark and St. Louis – to allow borrowers to have direct contact with the CFPB simply by picking up their phones and dialing 3-1-1.  The program partnered with the city of Jackson, Mississippi, in September 2013 and allows the citizens of Jackson to be connected with the Bureau when they have any sort of financial issue. Said Mayor Chokwe Lumumba, "[w]e understand the challenges that Jacksonians face on a daily basis when it comes to financial services such as loans, debt collection and mortgages. We want to help our citizens become more aware of the financial options and services that are available to them, and what better way than to connect the City's 3-1-1 system with the CFPB." At the Conference of Mayors in January, Cordray announced a goal to have as many mayors and cities as possible join the 3-1-1 pilot partnership by July 2014. In sum, the CFPB is not only making it easy for borrowers to contact it, it is embedding itself in cities across the nation.

Second, Cordray touted the ease and simplicity of filing a consumer complaint online at or by calling the CFPB's toll-free hotline. According to Cordray, even "more intricate" consumer complaints should not take more than 30 minutes to submit. After a consumer submits a complaint, the CFPB reviews it and contacts the complained-about company in order to address the issue.  More about how the CFPB brings complaints to mortgage servicers is here. Interestingly, Cordray notes that a large majority of the 270,000 complaints it has received from customers are mortgage-related. Specifically, the CFPB has received 109,000 complaints about mortgage products, compared to 27,000 complaints about credit reporting and 31,000 about debt collection.

Since the most complaints received by the CFPB relate to mortgage loan products, the CFPB's efforts to become entrenched in everyday American society is perceived to pose a particular threat to mortgage servicers and their ilk. Servicers are wise to keep abreast of the CFPB's actions and regulations because it is easier than ever for consumers to lodge complaints and, potentially, lawsuits.

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.

© Baker Donelson | Attorney Advertising

Written by:

Baker Donelson

Baker Donelson on:

Readers' Choice 2017
Reporters on Deadline

"My best business intelligence, in one easy email…"

Your first step to building a free, personalized, morning email brief covering pertinent authors and topics on JD Supra:
Sign up using*

Already signed up? Log in here

*By using the service, you signify your acceptance of JD Supra's Privacy Policy.
Custom Email Digest
Privacy Policy (Updated: October 8, 2015):

JD Supra provides users with access to its legal industry publishing services (the "Service") through its website (the "Website") as well as through other sources. Our policies with regard to data collection and use of personal information of users of the Service, regardless of the manner in which users access the Service, and visitors to the Website are set forth in this statement ("Policy"). By using the Service, you signify your acceptance of this Policy.

Information Collection and Use by JD Supra

JD Supra collects users' names, companies, titles, e-mail address and industry. JD Supra also tracks the pages that users visit, logs IP addresses and aggregates non-personally identifiable user data and browser type. This data is gathered using cookies and other technologies.

The information and data collected is used to authenticate users and to send notifications relating to the Service, including email alerts to which users have subscribed; to manage the Service and Website, to improve the Service and to customize the user's experience. This information is also provided to the authors of the content to give them insight into their readership and help them to improve their content, so that it is most useful for our users.

JD Supra does not sell, rent or otherwise provide your details to third parties, other than to the authors of the content on JD Supra.

If you prefer not to enable cookies, you may change your browser settings to disable cookies; however, please note that rejecting cookies while visiting the Website may result in certain parts of the Website not operating correctly or as efficiently as if cookies were allowed.

Email Choice/Opt-out

Users who opt in to receive emails may choose to no longer receive e-mail updates and newsletters by selecting the "opt-out of future email" option in the email they receive from JD Supra or in their JD Supra account management screen.


JD Supra takes reasonable precautions to insure that user information is kept private. We restrict access to user information to those individuals who reasonably need access to perform their job functions, such as our third party email service, customer service personnel and technical staff. However, please note that no method of transmitting or storing data is completely secure and we cannot guarantee the security of user information. Unauthorized entry or use, hardware or software failure, and other factors may compromise the security of user information at any time.

If you have reason to believe that your interaction with us is no longer secure, you must immediately notify us of the problem by contacting us at In the unlikely event that we believe that the security of your user information in our possession or control may have been compromised, we may seek to notify you of that development and, if so, will endeavor to do so as promptly as practicable under the circumstances.

Sharing and Disclosure of Information JD Supra Collects

Except as otherwise described in this privacy statement, JD Supra will not disclose personal information to any third party unless we believe that disclosure is necessary to: (1) comply with applicable laws; (2) respond to governmental inquiries or requests; (3) comply with valid legal process; (4) protect the rights, privacy, safety or property of JD Supra, users of the Service, Website visitors or the public; (5) permit us to pursue available remedies or limit the damages that we may sustain; and (6) enforce our Terms & Conditions of Use.

In the event there is a change in the corporate structure of JD Supra such as, but not limited to, merger, consolidation, sale, liquidation or transfer of substantial assets, JD Supra may, in its sole discretion, transfer, sell or assign information collected on and through the Service to one or more affiliated or unaffiliated third parties.

Links to Other Websites

This Website and the Service may contain links to other websites. The operator of such other websites may collect information about you, including through cookies or other technologies. If you are using the Service through the Website and link to another site, you will leave the Website and this Policy will not apply to your use of and activity on those other sites. We encourage you to read the legal notices posted on those sites, including their privacy policies. We shall have no responsibility or liability for your visitation to, and the data collection and use practices of, such other sites. This Policy applies solely to the information collected in connection with your use of this Website and does not apply to any practices conducted offline or in connection with any other websites.

Changes in Our Privacy Policy

We reserve the right to change this Policy at any time. Please refer to the date at the top of this page to determine when this Policy was last revised. Any changes to our privacy policy will become effective upon posting of the revised policy on the Website. By continuing to use the Service or Website following such changes, you will be deemed to have agreed to such changes. If you do not agree with the terms of this Policy, as it may be amended from time to time, in whole or part, please do not continue using the Service or the Website.

Contacting JD Supra

If you have any questions about this privacy statement, the practices of this site, your dealings with this Web site, or if you would like to change any of the information you have provided to us, please contact us at:

- hide
*With LinkedIn, you don't need to create a separate login to manage your free JD Supra account, and we can make suggestions based on your needs and interests. We will not post anything on LinkedIn in your name. Or, sign up using your email address.