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Mehul Madia

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Mehul Madia, special counsel in the firm's Washington, D.C. office, provides deep consumer finance and fintech expertise to clients, leveraging more than 15 years’ of public and private sector experience.

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On May 30, the CFPB and a national pawn store operator filed a joint status report in the U.S. District Court for the Northern District of Texas announcing that they have reached an agreement to resolve a 2021 Bureau lawsuit alleging violations of the Military Lending Act (MLA) and a 2013 CFPB consent order. The suit alleged that the pawn store operator and its subsidiary issued thousands of high-interest loans to active-duty servicemembers and their families in violation of federal law.Continue Reading CFPB and Pawn Store Operator to Settle MLA Suit

On June 2, the California State Assembly unanimously passed Assembly Bill 1180, which now moves to the California Senate for consideration. The bill would require the Department of Financial Protection and Innovation (DFPI) to adopt regulations permitting payments required under the California Digital Financial Assets Law (DFAL) to be made using digital assets. If enacted, the law would take effect on July 1, 2026.Continue Reading California Assembly Advances Bill to Permit Crypto Payments under DFAL

On April 7, the FDIC and the Maryland Office of Financial Regulation terminated two consent orders against a regional bank headquartered in Maryland. The termination concludes joint federal and state enforcement actions that required the bank to remediate deficiencies in its anti-money laundering (AML) program, interest rate risk management, and consumer protection practices.Continue Reading FDIC and Maryland End Joint Consent Orders Against Regional Bank

Amendments to California’s Automatic Renewal Law (ARL) will take effect on July 1, 2025. Enacted in September 2024 through Assembly Bill No. 2863, the amendments expand disclosure, consent, and cancellation obligations for businesses offering subscription or continuous service plans to California consumers.Continue Reading California’s “Auto Renewal Law” Takes Effect on July 1

On April 30, the FTC filed a stipulated order for a permanent injunctive relief and a monetary judgment against a Georgia-based debt collection company and its owner, which the court granted on May 9, to resolve allegations that the company used false claims, threats, and harassment to collect more than $7.6 million in bogus debts.Continue Reading FTC Permanently Bans Debt Collector for UDAP and FDCPA Violations

On May 28, Maryland Governor Wes Moore signed House Bill 1294 into law, establishing a comprehensive regulatory framework for Earned Wage Access (EWA) providers operating in the state. Effective October 1, the new law provides for licensing of both employer-integrated and consumer-directed EWA providers under the Maryland Consumer Loan Law, while also introducing a host of new consumer protection requirements.Continue Reading Maryland Enacts Earned Wage Access Law

On May 23, the CFPB notified a Kentucky federal court that it now considers its own 2023 open banking rule “unlawful” and plans to set the rule aside. The Bureau announced its intent to seek summary judgement against the rule, which was issued under Section 1033 of the Dodd-Frank Act to promote consumer-authorized data sharing with third parties.Continue Reading CFPB Seeks to Vacate Open Banking Rule

On May 27, the CFPB filed a notice of dismissal with prejudice in its lawsuit against a lease-to-own fintech provider. The lawsuit, filed in July 2023, alleged that the company’s rental-purchase agreements violated several federal consumer financial laws, including the Truth in Lending Act (TILA), the Electronic Fund Transfer Act (EFTA), the Fair Credit Reporting Act (FCRA), and the Consumer Financial Protection Act (CFPA).Continue Reading CFPB Drops Lawsuit Against Lease-to-Own Fintech Following Adverse Credit Ruling

On May 1, Pennsylvania Governor Josh Shapiro announced a new centralized consumer protection hotline, website, and email address, providing residents with streamlined access to state agencies for reporting scams, financial misconduct, and insurance-related disputes. The rollout is part of a broader push by Pennsylvania to expand state-level enforcement amid a shift in federal priorities.Continue Reading Pennsylvania Launches Centralized Consumer Complaint System, Expands State Enforcement Under Dodd-Frank

On May 21, the U.S. District Court for the Western District of Tennessee granted a joint motion by the CFPB and DOJ to terminate a 2021 redlining settlement with a regional bank, vacating the consent order and dismissing the case with prejudice. The original lawsuit, filed in October 2021, alleged violations of the Fair Housing Act (FHA) Equal Credit Opportunity Act (ECOA) and Consumer Financial Protection Act (CFPA).Continue Reading DOJ and CFPB Terminate $9 Million Redlining Consent Order with Southern Regional Bank