Announcements Mark Out a Clearer Path, but MSAs and Gifts Still Require Careful Review
Last week, the Consumer Financial Protection Bureau (“CFPB” or “Bureau”) announced significant changes to how it will view the legality of Marketing and Services Agreements (“MSAs”)
Consumer FinSights
Regulatory, enforcement and litigation insights on consumer financial and fintech issues
Consumer FinSights, published by McGuireWoods LLP, focuses on legal developments and regulatory guidance affecting consumer financial services. The blog covers topics such as federal and state banking regulations, cryptocurrency and digital asset custody and transactions, federal preemption of state laws in banking, enforcement of consumer financial protection laws, and risk management for financial institutions offering innovative financial products. It addresses regulatory agency actions, legislative proposals, and compliance challenges faced by banks, credit unions, and other financial service providers in areas including crypto-assets, stablecoins, and consumer protection enforcement.
Latest from Consumer FinSights - Page 6
OCC’s Attempt at Clarifying “True Lender” Principle Met with Mixed Results
On July 22, 2020, the Office of the Comptroller of Currency (“OCC”) proposed a new rule in the federal register, concerning when a bank or savings association is a “true lender,” when the loan is sold or assigned to different…
The New California Consumer Financial Protection Law
California’s financial services regulator soon will likely have a new name and a significantly expanded mission after state lawmakers passed legislation on August 31, 2020 that would revamp the agency in the image of the U.S. Consumer Financial Protection Bureau…
Mobile Banking Startup Varo Money Becomes First Fintech Company Granted a National Bank Charter
On July 31, 2020, Varo Money Inc. announced that it was granted a national bank charter by the U.S. Office of the Comptroller of the Currency (OCC). The charter will allow Varo, a mobile banking fintech, to launch a national…
New York, California and Illinois – the First to Challenge to the OCC’s Valid-When-Made Rule
It did not take long for the Office of the Comptroller of the Currency’s (“OCC”) May 29 Final Rule codifying the valid-when-made principal to face challenges in court. On July 29, the attorneys general for New York, California and…
New York Files Brief in Support of Dismantling OCC’s Fintech Charter
On July 23, 2020, the New York Department of Financial Services (“DFS”) filed its appellate brief asking the Second Circuit Court of Appeals to uphold the lower court’s decision to block the Office of Comptroller of the Currency’s (“OCC”)’s special…
U.S. Supreme Court’s CFPB Decision: Implications for Consumer Finance and Other Agencies
This week’s U.S. Supreme Court opinion in Seila Law v. CFPB reached its most widely expected conclusion, ultimately allowing the CFPB to continue to operate. But the opinion also raises questions about previously initiated CFPB enforcement actions, and arguably raises…
Supreme Court Decision Likely Expands the Reach of Fair Lending Laws to Protect Sexual Orientation and Gender Identity
In a landmark case last week, the Supreme Court held in Bostock v. Clayton Co., Ga. that the prohibition on sex-based discrimination in employment is violated when an employee is fired on the basis of homosexuality or transgender status. This…
OCC Clarifies the “Valid When Made” Principle
On May 29, 2020, the Office of the Comptroller of the Currency (OCC) issued a long-awaited final rule to clarify and underscore the ‘valid when made’ principle in which the interest rates permissible before a bank transfers a loan continues…
OCC Urges Second Circuit to Reverse Fintech Charter Decision
Update: On July 23, 2020, the New York Department of Financial Services (“DFS”) filed its appellate brief asking the Second Circuit Court of Appeals to uphold the lower court’s decision to block the Office of Comptroller of the Currency’s (“OCC”)’s…