Just two weeks before the inauguration of President-elect Biden, and the launch of a new executive
administration, the Consumer Financial Protection Bureau (CFPB or Bureau) Taskforce on Federal Consumer Financial Law (Taskforce) issued a nearly 900-page report making extensive recommendations for legislative and regulatory reform, enactment, and adoption of new initiatives. The Taskforce comprised five appointed members with more than 150 combined years of economic, legal and regulatory experience in federal consumer financial law. In January 2020, now out-going CFPB Director Kathy Kraninger charged the Taskforce with:
- “provid[ing] an objective and independent evaluation, in the form of one consensus report to the Director, of the Bureau’s current regulatory framework;”
- “examin[ing] the existing legal and regulatory environment facing consumers and financial services providers;” and
- “report[ing] its recommendations for ways to improve and strengthen consumer financial laws and regulations.”[1]
The Taskforce conducted research and interviews, held meetings, and completed drafting its Report with the assistance of Bureau staff by its January 2021 deadline, despite challenges imposed by the COVID-19 state of emergency. To fulfill its charter, the Taskforce issued a nearly 800-page Volume I divided into three sections. In Volume II, it made numerous targeted recommendations in the form of statutory repeal, amendment or enactment; regulation repeal, amendment or enactment; further study; or CFPB or other federal agency restructure, reassignment of jurisdiction, or reinforcement of obligations that should be undertaken. Links to Volume I and Volume II of the Report are included here: [https://files.consumerfinance.gov/f/documents/cfpb_taskforce-federal-consumer-financial-law_report-volume-1_2021-01.pdf; https://files.consumerfinance.gov/f/documents/cfpb_taskforce-federal-consumer-financial-law_report-volume-2_2021-01.pdf].
This update provides a broad overview of Volumes I and II of the Taskforce Report. We anticipate publishing more detailed analyses of the Report’s specific recommendations for legislative and regulatory reform, as well as drafting blog-posts and hosting webinars and podcasts devoted to emerging areas of federal consumer financial law, throughout 2021.
Click here to read the full Legal Update.