Consumer Financial Protection Bureau News

Battle Against Forced Arbitration in Financial Contracts Could Take Years

A U.S. agency’s plans to ban forced arbitration clauses from financial contracts faces a tough road, with early reaction pointing to a years-long battle that could take a Supreme Court test to settle. Thousands of angry consumers and business representatives …

U.S. Consumer Rules Would End Mandatory Arbitration Clauses That Limit Class Actions

A U.S. consumer watchdog on Thursday proposed new rules to block credit card companies, banks and other companies from forcing customers to waive their rights to join class action lawsuits and only settle disputes through arbitration. The Consumer Financial Protection …

Consumer Agency Seeks to Limit Financial Firms’ Arbitration Clauses

Banks and credit card companies may not force customers to sign away their legal rights to take part in class action lawsuits, under an early-stage U.S. government proposal that is likely to draw ire from Wall Street. The Consumer Financial …

Business Lobbies Seek Probe of Medical Funding Industry

Two business lobbying groups this week called on the Consumer Financial Protection Board to investigate the medical funding industry after a Reuters investigation revealed that private investors are funding operations for women who have sued makers of surgical implants. The …

U.S. Consumer Bureau Moves to Restrict Mandatory Arbitration Clauses

Financial companies routinely use mandatory arbitration to block class-action lawsuits, making it difficult for consumers to win big payouts in disputes over credit cards and other products, a U.S. regulator found. When credit card issuers have faced suits seeking class- …

Consumer Credit Agencies Agree to Address Errors, Medical Debt

Buying homes, getting jobs and borrowing money will be easier after an agreement by the three biggest U.S. consumer credit reporting services with New York. “This is huge,” Chi Chi Wu, an attorney at Boston-based National Consumer Law Center, said …

Supreme Court to Hear ‘Disparate Impact’ Housing Case

The U.S. Supreme Court agreed to decide whether people suing for housing discrimination must prove they were victims of intentional bias, in a case that may give long-sought protection to the lending industry. The justices today said they will hear …

FICO to Downplay Medical Debt in Credit Scores

A move by personal credit score provider FICO to leave out or discount medical debt from its scores will boost the credit record of many borrowers, while helping lenders to better assess risk. The company, formerly known as Fair Isaac …

Financial Firms Want More Time to Review U.S. Consumer Complaint Proposal

The federal government is proposing a new policy that would allow consumers to publicly post their complaints about consumer financial products and services. Under the proposal by the Consumer Financial Protection Bureau (CFPB), consumers would have the option to share …

Judge Dismisses Lawsuit Against Dodd-Frank by 11 States and Texas Bank

A lawsuit by 11 states and a Texas bank challenging the Dodd-Frank law’s financial regulation overhaul was dismissed by a federal judge. U.S. District Judge Ellen Segal Huvelle in Washington Thursday ruled that the states and the State National Bank …