Regulators in some states controlled by Democrats are poised to increase their oversight of consumer protection laws as the CFPB’s focus is expected to shift under the incoming Trump administration.

The state’s proposal to establish Community Reinvestment Act requirements for nonbank mortgage lenders was met with opposition from the Mortgage Bankers Association.

The National Consumer Law Center is urging states to restrict the annual percentage rate at 36% for loans with balances of up to $1,000 and lower limits for larger loans.

Home equity investment products are “loans masquerading as obligation-free cash,” according to the National Consumer Law Center.

The CFPB is asking states to heighten their efforts to tighten data privacy protection and close gaps with federal laws.

State regulators plan to move the One Company, One Exam effort out of pilot into full operation, beginning with larger mortgage companies.

Without an increase in NMLS processing fees, CSBS said it will incur nearly $133 million in losses over the next decade. The fee increases are poised to go into effect in March, but most industry participants won’t be impacted until fall 2025, according to CSBS.

Home equity investment activity is growing thanks to ongoing home price appreciation and strong demand from both homeowners and investors in the secondary market. Regulation of the products is currently limited to a handful of states.

The final rule goes into effect Sept. 16, with the registration deadline for large nonbanks starting Oct. 16.

The ABA is expecting the CFPB to finalize two rules — one on overdraft fees and another on nonsufficient funds fees — within the next few months.