Consumers First: Semi-Annual Report of the Consumer Financial Protection Bureau (EventID=114683) скачать в хорошем качестве

Consumers First: Semi-Annual Report of the Consumer Financial Protection Bureau (EventID=114683)

Connect with the House Financial Services Committee Get the latest news: https://democrats-financialservices.h... Follow us on Facebook:   / housefinancialcmte   Follow us on Twitter:   / fscdems   ___________________________________ On Wednesday, April 27, 2022, at 10:00 a.m. (ET) full Committee Chairwoman Waters and Ranking Member McHenry will host a hybrid hearing entitled, “Consumers First: Semi-Annual Report of the Consumer Financial Protection Bureau." ___________________________________ Witness for this one-panel hearing will be: • The Honorable Rohit Chopra, Director, Consumer Financial Protection Bureau ___________________________________ Overview Pursuant to the Dodd-Frank Wall Street Reform and Consumer Protection Act of 2010 (DoddFrank Act), the Director of the Consumer Financial Protection Bureau (CFPB) is required to testify before the Committee on its semi-annual report. The most recent semi-annual report issued by CFPB was published on April 6, 2022, which covers agency activity from April 1, 2021 to September 30, 2021. This memo summarizes the CFPB’s most recent report and other activities since October 2021, when CFPB Director Rohit Chopra last testified before the Committee. Background In response to the 2007-2009 financial crisis caused in part by a period of unchecked and rampant predatory lending, Congress passed the Dodd-Frank Wall Street Reform and Consumer Protection Act, which created the CFPB as an independent agency within the Federal Reserve System to better protect consumers from unfair, deceptive, or abusive acts or practices in the financial marketplace. In establishing the CFPB, Congress explicitly laid out in statute the agency’s purpose, objectives, and functions. Since opening its doors in 2011, the CFPB has investigated and uncovered egregious and illegal conduct in the financial marketplace, including discriminatory and predatory products and services offered to consumers.6 The agency has received over 2.9 million consumer complaints with a 98 percent timely response rate by financial firms to those complaints. Since its founding, the CFPB has delivered over $13.6 billion in monetary compensation, principal reductions, cancelled debts and other consumer relief through its enforcement and supervisory work. The CFPB has also issued numerous rulemakings since its creation related to consumer protection. In addition, the CFPB performs research on various consumer financial products and services, and provides free resources to the public to better understand these products and services, as well as their rights and protections afforded them under the law. Rulemaking Developments Credit Reporting On April 7, 2022 the CFPB issued a proposed rule to protect survivors of human trafficking by establishing a method for trafficking victims to submit documentation to consumer reporting agencies (CRAs), including information identifying adverse information that resulted from certain types of human trafficking, and prohibiting the CRAs from furnishing a consumer report containing the adverse information.11 This rule was required by Congress as part of the Debt Bondage Repair Act sponsored by Ranking Member Patrick McHenry (R-NC), which passed the House in June 2021, and was included in the National Defense Authorization Act for fiscal year 2022, and signed into law in December 2021. Mortgage Servicing In June 2021, the CFPB finalized rules requiring mortgage servicers to offer streamlined loan modification options to homeowners with COVID-19-related hardships and requiring that certain procedural safeguards be met before servicers can initiate foreclosure on loans secured by a borrower’s principal residence.14 These enhanced foreclosure protections for homeowners affected by the pandemic crisis were in effect beginning in August 31, 2021 until December 31, 2021. In March 2022, the CFPB published a report indicating that although the share of mortgages in forbearance fell between March 2021 and January 2022, Black and Latinx borrowers were overrepresented in those who were in forbearance. Small Business Loan Data Collection On January 6, 2022 the comment period closed on CFPB’s proposed rules to implement Section 1071 of the Dodd Frank Act, which establishes how financial institutions must collect and report demographic data on credit applications submitted by women-owned, minority-owned, and small businesses. CFPB’s proposal would cover credit provided to small businesses with $5 million or less in gross annual revenue for its preceding fiscal year. It would also require lenders that made at least 25 loans in each of the two preceding calendar years to collect and report certain data about small business borrowers, the credit products and terms of the loan, as well as borrower demographic data. London Interbank Offer Rate (LIBOR)... Hearing page: https://democrats-financialservices.h...