Prospects for Reform at the Consumer Financial Protection Bureau

President Obama announcing nomination of Richard Cordray as CFPB Director

The New York Times reported last week on what it called The Consumer Financial Protection Bureau’s (CFPB) next “crusades.”  That would not be my preferred term, but yes, the regulatory agenda is ambitious. 

As the story recounts, The CFPB has already fined major companies, including American Express, GE Captial Retail Bank and Ocwen Financial for misleading business practices.  Last Friday, it issued new regulations for the mortgage industry.  

The CFPB’s agenda in the coming year includes the following areas:

• Arbitration (see our earlier blog post on the CFPB’s preliminary report);
• Bank overdraft fees;
• Student loans;
• Debt collection;
• Credit report disputes; and 
• Prepaid cards

It is an ambitious agenda.  Let’s see if it will have much of an impact on consumer financial protection.

[JT]