The bureau reminded lenders that the Equal Credit Opportunity Act prohibits lenders from discriminating against borrowers during the application process, as well as after they receive credit.
The proposed rule would greatly expand the assessment areas under CRA to include activities associated with online and mobile banking, branchless banking and hybrid models.
Industry trade groups believe the request for information is unwarranted as fees on consumer financial products and services are already backed by adequate disclosure requirements.
The CFPB plans to launch dedicated units within its supervision and enforcement division to enhance detection of repeat offenders and to better hold them accountable.
A federal appeals court remanded the case to a district court to first determine which counts of a CFPB complaint against Ocwen are barred by the 2014 consent judgment between the two parties.
The bureau announced changes to examiners’ procedures, saying it will now scrutinize all covered markets for discriminatory practices under the “unfairness” standards.
Industry stakeholders have raised concerns that the use of qualitative factors and examiner judgment in evaluation of CRA-related activities can lead to inconsistent interpretations of the law.
In recent television appearances, the CFPB director was asked about a grab bag of issues, including auto lending, student loans, credit cards, cryptocurrencies and buy now, pay later products.
The request comes in the wake of a media report that, of all large lenders, Wells Fargo had the biggest disparity between Black and white homeowners in refinancing approval rates.
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