If the Consumer Financial Protection Bureau publishes its list of regulatory priorities as though it were the end credits of a movie, then the proposed rule on debt collection is now the third-most important activity being worked on at the agency.
The CFPB published its Semiannual Regulatory Agenda in the Federal Register today, and did include the proposed debt collection rule on its list, but it was near the bottom, right by the key grip and best boy. The information in the report is considered current as of March 25, 2016.
If ranked in order of importance, the CFPB’s most important priority this spring dealt with its proposed rule that would eliminate the use of mandatory arbitration in credit contracts. The CFPB issued that proposed rule on May 5.
Following that, the next regulatory priority is a proposed rule governing the use of payday loans, auto title loans, and other similar credit products, which was introduced on June 2.
The CFPB said it plans to issue a proposed rule “in early summer” to protect consumers from prepaid financial products, such as reloadable debit cards, which are popular among individuals who do not have bank accounts.
After that, the CFPB plans to tackle amending Regulation P of the Gramm-Leach-Bliley Act, which governs privacy notices. That is followed by preparing for a rule on the use of overdraft programs on checking accounts. Following that, the CFPB plans to re-ignite its proposed rule governing debt collection. At least one law firm is saying it will be the end of this year – at the earliest – before a proposed rule is likely to be issued. After the debt collection rule is proposed, the CFPB plans to tackle the definition of what constitutes a large market participant in the financial services industry.
