Lawsuit against CFPB’s credit card rule to stay in Texas; CFPB has no comment on allegations involving UWM, mortgage brokers; the bureau plans to release a credit card comparison shopping tool; ABA and other trade groups urge the CFPB to drop an auto data request; CFPB issues warning on false advertising used in remittance transfers.
The U.S. Court of Appeals for the Third Circuit held that National Collegiate Student Loan Trust student loan ABS are covered persons subject to the CFPB’s authority under the Dodd-Frank Act.
The circuit court held that the ABS trusts are covered persons subject to the CFPB’s authority under the Dodd-Frank Act. The lawsuit could have a major impact on the broader securitization market, the Structured Finance Association warned.
"If a lender has a full array of products ... [they] serve the credit needs of low- and moderate-income borrowers as well as borrowers in communities of color," said Maurice Jordain-Earl, managing director of Compliance Tech.
Given that scammers are using artificial intelligence to mimic voices of trusted sources, Violet Sullivan, assistant vice president at Crum & Forster Insurance, recommended mortgage companies require the source to provide a code word or phrase during verbal confirmation of a transaction.
The lawsuit centers on whether requirements under the Truth in Lending Act apply to mortgages that are marked as commercial on loan documentation but have certain residential characteristics.
CSBS stressed that it develops and maintains the National Multistate Licensing System required by the statutory authority of the Secure and Fair Enforcement for Mortgage Licensing Act.
More than a handful of motions and briefs have been filed over the last two weeks in the lawsuit challenging the CFPB’s final credit card late fee rule.