On June 9, 2025, New York City Comptroller Brad Lander released a report urging City and State leaders to modernize consumer financial protections. The report outlines a series of legislative and regulatory recommendations aimed at closing gaps in existing protections and addressing emerging risks in the consumer financial marketplace.Continue Reading NYC Comptroller Report Calls for Overhaul of State Consumer Financial Protections
On June 18, the CFPB published a proposed rule that would rescind its authority to use money from the Civil Penalty Fund for consumer education and financial literacy initiatives. The proposed changes would amend the CFPB’s 2013 rule implementing the Civil Penalty Fund provisions of the Consumer Financial Protection Act (CFPA) and restrict the Fund’s use exclusively to harmed consumers.Continue Reading CFPB Proposes to Eliminate Education Allocations from Civil Penalty Fund
On June 9, Maine Governor Janet Mills signed into law LD558, which prohibits the reporting of medical debt to consumer reporting agencies. The law bars medical creditors, debt collectors, and debt buyers from furnishing information about medical debt to credit bureaus, regardless of payment status or consumer repayment activity.Continue Reading Maine Enacts Ban on Reporting Medical Debt to Credit Bureaus
On May 23, the Texas Supreme Court issued an opinion holding that in determining whether a commercial loan is usurious under Texas state law, the “actuarial method” must be employed. This requires the applicable amount of interest to be calculated using the loan’s declining principal balance on a monthly basis, rather than always using the original principal balance of the loan. This decision was in response to a question posed to the 5th Circuit Court of Appeals regarding a dispute over usurious interest charges.Continue Reading Texas Supreme Court Issues New Interpretation of Texas Usury Law
On June 2, the U.S. District Court for the Eastern District of Pennsylvania terminated a 2022 consent order and dismissed with prejudice the CFPB and DOJ’s redlining lawsuit against a nonbank mortgage lender. The motion to terminate the consent order, filed jointly by the CFPB and DOJ, asserted that the company had fulfilled its monetary and injunctive obligations under the order.Continue Reading CFPB and DOJ Terminate Another Redlining Consent Order
On June 13, Judge Katherine Polk Failla of the U.S. District Court for the Southern District of New York entered a stipulated final judgement resolving claims brought by the New York Attorney General against a global money transmitter. The lawsuit, initially filed in partnership with the CFPB (previously discussed here), alleged violations of the Electronic Fund Transfer Act (EFTA), including the Remittance Rule under Regulation E, as well as the Consumer Financial Protection Act (CFPA).Continue Reading New York AG Secures $250,000 Settlement With Money Transmitter Over Remittance Rule Violations
On June 1, the Illinois General Assembly passed a bill that, if enacted, will delay the effective date of the Interchange Fee Prohibition Act by one year, from July 1, 2025, to July 1, 2026.Continue Reading Illinois Delays Interchange Fee Ban by One Year
On June 9, Acting Comptroller of the Currency Rodney Hood issued a letter rejecting the Conference of State Bank Supervisors’ (CSBS) request that the OCC rescind its 2011 preemption regulations. Continue Reading OCC Rejects Calls to Roll Back Preemption Rules
On May 28, Nevada Governor Joe Lombardo approved SB 437, creating a new framework for internet-based consumer lenders that lend to Nevada residents. The law defines an “Internet consumer lender” as any entity that exclusively offers or facilitates consumer loans online and becomes effective on October 1, 2025.Continue Reading Nevada Enacts Law Allowing Remote Licensing for Internet Consumer Lenders
Louisiana and Connecticut recently passed legislation establishing regulatory frameworks for earned wage access (EWA) providers.Continue Reading Louisiana and Connecticut Advance Earned Wage Access Laws
On May 28, the U.S. Department of Justice filed a motion to terminate its redlining consent order against a New Jersey-based bank. The five-year order, entered in September 2022, resolved allegations that the banks violated the Fair Housing Act and Equal Credit Opportunity Act by engaging in a pattern of unlawful redlining in majority-Black and Hispanic neighborhoods across the Newark metropolitan area.Continue Reading DOJ Moves to End $13 Million Redlining Consent Order