Consumer Finance Law Blog

Consumer Finance Law Blog

Developments and Analysis of Consumer Financial Services Laws, Rules, and Regulations

Category Archives: Fair Lending

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Financial Reform Negotiations Conclude

Posted in Consumer Financial Protection, Credit Cards, Fair Lending, Federal Reserve, Gift Cards, Legislative Developments
After working through the night, the Congressional conference committee tasked with negotiating a final financial reform bill voted 27-16 to approve the bill and send it back to each chamber for a final vote on the conference report. Recaps of the long day and night of negotiations and the final bill are available from Poltico,… Continue Reading

Recently Commenced California Class Action May Impact Exposure Faced By Financial Institutions Involved With Federal Student Loans

Posted in Class Action, Fair Lending
If your company is one of the many companies that participates in originating, guaranteeing or servicing student loans made under the Federal Family Education Loan Program (“FFELP”) you should be aware of a recent putative class action filed in the United States District Court for the Northern District of California. In Sharon Cheslow v. Wells Fargo… Continue Reading

DOJ Reaches Landmark Settlement of Claims Regarding Racial Discrimination in Mortgage Lending

Posted in Consumer Financial Protection, Fair Lending
Last month, two subsidiaries of American International Group (“AIG”) agreed to pay $7.1 million to settle claims by the United States Department of Justice (“DOJ”) that the companies unlawfully charged African American borrowers higher mortgage fees over a period of three years as compared to white borrowers. In United States of America v. AIG Federal Savings Bank,… Continue Reading

State Regulators’ Powers Over National Banks Reaffirmed by U.S. Supreme Court

Posted in Fair Lending, Legislative Developments, Regulatory Developments
Recently, the United States Supreme Court, in its decision styled Andrew M. Cuomo v. The Clearing House Association, L.L.C., No. 08-453, reaffirmed that federal banking regulations do not pre-empt states from enforcing their own fair-lending laws against national banks. This dispute arose following the New York State Attorney General’s attempt to investigate several banks’ residential… Continue Reading

Welcome to the Consumer Financial Services Blog

Posted in Credit Cards, Data Security, Fair and Accurate Credit Transactions Act (FACTA), Fair Credit Reporting Act (FCRA), Fair Lending, Insurance Coverage & Recovery, Legislative Developments, Merchant Billing & Payment
Which among the following businesses are potentially subject to consumer financial services laws, rules, and regulations? A. a retail clothing chain B. a bank or mortgage company C. an internet retailer D. a fast food franchisor E. all of the above If you answered E, “All of the above,” you are CORRECT. However, many companies do not… Continue Reading