For the accounts receivable management industry, this might be one of those times where it is good to speak up. The California Department of Financial Protection and Innovation (DFPI) on Thursday published an invitation for comments as it determines the rules it needs to implement in order to enforce the California Consumer Financial Protection Law (CCFPL).
The CCFPL makes it illegal for service providers or covered persons as defined under a section of the state’s Financial Code to, among other provisions, engage in practices that are unlawful, unfair, deceptive, or abusive.
While interested parties are free to submit comments in “any area on which the DFPI has authority to adopt rules,” the agency identified a number of questions and topics for which it is specifically looking for information. Those include:
- Defining new terms or refining already defined terms that apply to the CCFPL or what other products and services should fall under the scope of the DFPI.
- Clarify the scope of entities that are exempt from complying with the CCFPL.
- Which entities should be among the first to be required to register with the DFPI.
- How to ensure businesses reply in a timely manner to consumer complaints and how long those timelines should be.
- How to determine whether a business has conducted a reasonable investigation when it has been notified of a complaint.
- How to address acts or practices that may be considered unlawful, unfair, deceptive, or abusive.
- Prescribe rules to ensure proper disclosures are made to consumers regarding the features of a consumer financial product or service.
Comments may be mailed into the DFPI’s Legal Division or emailed in to this address with “PRO 01-21” in the subject line. Comments must be filed by March 8.
