The Consumer Financial Protection Bureau filed suit Thursday against four online tribal lenders for alleged usury law violations, though the industry contends it is not subject to CFPB regulation. Interest rates on online loans offered by companies such as Golden Valley Lending reportedly have ranged from 440% to 950%.
Senate banking committee Chairman Mike Crapo, R-Idaho, says he wants bipartisan support for his ideas on overhauling the Dodd-Frank Act, but he anticipates dissent over changes to the Consumer Financial Protection Bureau. "Getting our regulatory system right is a critical issue," he said at a Women in Housing & Finance event.
A focus group survey of small-business employers in Connecticut, one of the states currently sponsoring a retirement-savings plan, reveals confusion over what employers' responsibilities are, as well as questions on the usefulness of state-run plans. Report author Alison Salka says states considering such plans should be prepared to engage in an extensive education process.
Regional banking leaders are citing hesitancy among small businesses and corporations for sluggish loan activity as the Trump administration defines its financial approach. Beth Mooney, CEO of KeyCorp in Cleveland, said, "The optimism and the willingness is there, but it has not yet translated into actions or behaviors."
N.Y. State Assemblyman Kenneth Zebrowski has filed legislation that would require student loan servicers operating in the state to be licensed and comply with consumer protection standards. The Trump administration's steps to reverse Obama-era guidance on student loan reforms has borrower advocates concerned and pushing for state involvement.
Houston-based BBVA Compass Bancshares' 2017 first-quarter net income of $120.8 million represented the company's first net increase since mid-2015. The positive earnings resulted in part from higher interest rates and holding less money in reserve to respond to problem loans, and a bank spokesperson said, "We're cautiously optimistic about 2017."
After President Donald Trump met with the leaders of Canada and Mexico, the White House released a statement saying Trump has "agreed not to terminate [the North American Free Trade Agreement] at this time." Instead, the leaders of all three countries will prepare for renegotiation of the agreement.
Democratic House members are resisting Republican efforts to replace the Dodd-Frank Act with the Financial CHOICE Act. At a House Financial Services Committee hearing, they said revoking certain safeguards could lead to another financial crisis.
The Senate voted 61-39 on Wednesday to end debate on President Donald Trump's nomination of R. Alexander Acosta to be labor secretary. One more vote must be taken to complete his confirmation process.
Ocwen Financial is asking the Justice Department for assistance in challenging the Consumer Financial Protection Bureau's lawsuit alleging misconduct in mortgage servicing, saying the agency is unconstitutional. The request follows a similar strategy in the PHH case, in which the DOJ has filed an amicus brief asking the court to declare the CFPB unconstitutional and to give President Donald Trump authority to terminate the CFPB director for any reason.
- Page 1