In a long-awaited decision, the Third Circuit handed the Consumer Financial Protection Bureau (“CFPB” or “Bureau”) a victory in the National Collegiate Student Loan Trust litigation that could have wide-reaching implications for market participants in the consumer financial services industry. In its March 19, 2024 opinion, a three-judge panel held that: (1) the National Collegiate Student Loan Trust entities (“Trusts”) are “covered persons” subject to the CFPB’s enforcement authority under the Dodd-Frank Act because they “engage” in consumer financial products or services—i.e., student loan servicing and debt collection; and (2) the CFPB did not need to ratify the underlying action before the statute of limitations had run despite the constitutional deficiency within the Bureau when the action was initiated.1
In other news, putative class actions represented 4.9% of FDCPA, 66.9%(!) of TCPA and 9.5%(!) of FCRA lawsuits filed last month. TCPA and FCRA class actions are extraordinarily high, historically speaking. About 37% of all plaintiffs who filed suit last month had filed at least once before. And finally, Encino attorney Melkon R. Melkonian gets his first crack at the top spot for representing the most consumers (127) in February and YTD (though it’s by bundling a bunch of plaintiffs into a couple of suits).
The new Fintech Engagement Program includes both vetted FinTech companies and credit unions that are looking to address industry pain points, the payments credit union service organization (CUSO) and integrated FinTech solution provider said in a Tuesday (April 2) press release emailed to PYMNTS.
The comment request focuses on two new surveys to determine what influences consumers’ decisions to file complaints about financial products and services.
Is the person who contacted your employee really from the IRS or Social Security Administration? And what about those calls and texts to consumers claiming to be from your company? The FTC’s new Trade Regulation Rule on Impersonation of Government and Businesses takes effect today and a just-released Data Spotlight underscores the Rule’s critical importance to consumers and businesses.
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