If a Republican president and Congress are elected, among the anti-consumer actions will be the elimination of the Consumer Financial Protection Bureau.
The bureau, established after the Great Recession to aid consumers in financial transactions, has returned more than $11 million to more than 225,000 harmed consumers in a three-month period. The bureau also uncovered student loan servicer violations, such as failing to enroll qualified borrowers in affordable federal loan repayment plans.
A recent report on supervisory actions also outlines violations found in auto loan origination and servicing, debt collection, and mortgage origination
In addition, the report provides information on compliance with bureau rules and regulations, new exam policies, and best practices for better communication with non-English-speaking consumers.
“Our examiners continue to find sloppy or callous practices among some student loan servicers and other financial institutions that violate the law and put consumers at risk,” said Richard Cordray, director of the bureau. “If their practices hurt consumers, they need to rethink and change their practices in light of the actions and observations found in this report.”
The Dodd-Frank Wall Street Reform and Consumer Protection Act authorizes the bureau to supervise banks and credit unions with more than $10 billion in assets and some nonbanks, including mortgage companies, private student lenders, and payday lenders. The bureau has issued rules to supervise the larger participants in some markets including consumer reporting, debt collection, student loan servicing, international money transfers, and auto finance.
The report, the 13th edition of Supervisory Highlights, is focused on supervisory work completed between May and August 2016. It includes issues bureau examiners found in student loan servicing, auto loan origination and servicing, debt collection, and mortgage origination. Supervisory actions in the areas of deposits, mortgage servicing, and credit cards returned $11.3 million to consumers.
