CFPB wields power to quash alleged ‘abusive’ practices for first time

Since the advent of the Consumer Financial Protection Bureau, industry participants have wondered how and when the new agency would use its Dodd-Frank-mandated authority to ban abusive acts or practices in the consumer financial marketplace. On May 29, the agency announced it is seeking to exercise this power for the first time in a case involving a Florida debt-relief company. Read on to learn what activities the company allegedly engaged in that constituted abuse in the eyes of the CFPB.