Answer:
Yes! And, it could be a long anticipated revision to a vague law!
Congress prohibits community bankers from unfair, deceptive, or abusive acts or practices (UDAAP) and made it unlawful for “any person to knowingly or recklessly provide substantial assistance to a covered person or service provider in violation of” the CFPA’s UDAAP provisions.
The CFPB is currently contemplating a rule to adopt a general definition of the word "abusive", which has long been a point of contention due to its subjective nature.
According to Director Kraninger, " The only place we have provided additional definition [on 'abusive'] is in enforcement actions that have also been quite rare. So this is something that is a decision before me as to whether we should put more guidance out there or what next steps we should take. So there will be news on that in the not too distant future."
During this webinar, we will examine a range of unresolved regulatory and legal issues affecting the CFPB, and create a "best practices" action plan for your bank to implement in order to combat open questions and conflicting interpretations of UDAAP.
-----------------------------
Learn more about Carly Souther’s webinar New CFPB Expectations: Compliance in 2020
print
share