Groups representing banks and credit unions urged the Consumer Financial Protection Bureau not to extend provisions of the Fair Debt Collection Practices Act to creditors collecting their own debts. The FDCPA generally applies to third-party debt collectors. However, the CFPB indicated in a recent rulemaking proposal that it might consider extending certain consumer protections to ensure that borrowers are treated fairly by all debt collectors.

The Consumer Financial Protection Bureau sued Indiana-based ITT Educational Service Inc., alleging that the for-profit college chain engaged in predatory lending in violation of Dodd-Frank’s ban on abusive practices. The agency said ITT exploited its students and pushed them into high-cost private loans that were likely to end in default. Participants in CFPB-supervised industries have been watching closely to see how the bureau enforces Dodd-Frank’s ban on abusive practices. Read on to learn about alleged activities the CFPB said constituted abuse in this case.

Earlier this year, the Office of the Comptroller of the Currency released a proposal that would formalize an enhanced set of bank governance and risk management standards that evolved in the wake of the financial crisis. While the agency said these “heightened expectations” are intended to apply to large national banks and federal thrifts, attorneys from Ballard Spahr LLP argued during a recent webinar that at least some elements of the proposal will likely impact all banks, including community institutions. Read on for the details.

The Consumer Financial Protection Bureau’s practice of setting compliance expectations via enforcement actions and brief guidance statements has made it “virtually impossible for companies to determine in advance what they should do to comply with the law” in certain circumstances, according to the U.S. Chamber of Commerce. David Hirschmann, president and chief executive officer of the Chamber’s Center for Capital Markets Competitiveness, recently urged the CFPB to instead seek broad stakeholder input and clarify its compliance expectations in some specific areas.

The Consumer Financial Protection Bureau may not have the authority to scrutinize community banks and credit unions, but the agency’s rules and policies have a direct impact on these small lenders. On Feb. 12, credit union professionals had the opportunity to question CFPB leaders about specific provisions of the agency’s new mortgage rules and about its other policy initiatives. Read on to learn what bureau leaders had to say about the future of balloon mortgages and the possibility of revising other rules related to loan originator compensation, appraisals for higher-priced mortgages and remittance transfers.