Blog » 2016 » January » CFPB Enforcement Year in Review

Posted on Jan 15, 2016 11:25am PST

Much can be learned from a previous year, especially at the start of a new one. With the blank canvas of 2016 ahead, taking a look back at the Consumer Financial Protection Bureau’s actions in 2015 can lend great insight into what areas institutions can improve on and which issues they can strive to avoid in the future. According to a report, the number of enforcement actions taken by the CFPB increased by more than 80% from 2014 to 2015. Litigated enforcement actions increased by 44% percent during this time period as well.

Some of the major enforcement actions the CFPB took in 2015:

  • Indirect Auto Finance Company to Pay $44.1 Million in Relief for Illegal Debt Collection Tactics
  • CFPB Takes on Two of the Largest Employment Background Screening Report Providers for Concerning Inaccuracies
  • CFPB & DOJ Order Hudson City Savings Bank to Pay $27 Million to Increase Mortgage Credit Access in Communities Illegally Redlined
  • Citizens Bank to Pay $18.5 Million for Not Crediting Full Deposit Amounts
  • $18.5 Million to be Paid by Discover Bank for Illegal Student Loan Servicing
  • Citibank to Pay $700 Million in Consumer Relief for Illegal Credit Card Practices
  • CFPB & Florida Attorney General Win $27.7 Million Against Foreclosure Relief Scam Companies
  • Wells Fargo & JPMorgan Chase to Pay $37 Million for Illegal Mortgage Kickbacks

The Role of CFPB in 2016

As seen in the strong increase of enforcement actions from 2014 to 2015, the CFPB did not hesitate to exercise their powers on behalf of consumers this past year. Preparing for 2016 is extremely important for financial institutions.

Specific topics we can expect the CFPB to focus on over the next year include:

  • Debt Collection
  • Consumer Reporting Compliance
  • Fair Lending
  • Payday Lending
  • Auto Finance
  • Overdraft Protection
  • Prepaid Cards
  • Arbitration

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