Cullen and Dykman LLP’s Post

Important development in consumer protection! The U.S. Consumer Financial Protection Bureau (CFPB) has announced a new database aimed at identifying nonbank financial companies that violate consumer laws. This initiative will enhance the transparency and accountability of repeat offenders and will aim to protect American families and businesses. The first registrations are expected in January 2025. Conducting proper due diligence on corporate partners or acquisition targets is essential. Our experts help clients mitigate risk and stay informed of corporate compliance issues. Read more: https://lnkd.in/eQPXEvKJ #ConsumerProtection #FinancialRegulation #CorporateAccountability

More control on transactions.

The Consumer Financial Protection Bureau (#CFPB) recently supported the New York Attorney General's stance that the Electronic Funds Transfer Act (#EFTA) applies to most parts of consumer wire transactions. The implications for banks and financial institutions could be profound, potentially requiring a major overhaul of current practices and consumer protections. Scott Fryzel, Lindsay Henry, and Lauren Quigley analyzed the situation and shared insights. #FinancialLaw #BankingRegulations #ConsumerProtection #FinancialIndustry

The Spring 2024 report from the Consumer Financial Protection Bureau (CFPB) underscores the vital responsibility of ensuring the accuracy and integrity of consumer information held by Credit Reporting Agencies (CRAs). It highlights the significant role CRAs play in investigating consumer disputes, regarding the accuracy of reported information; A process that, if mishandled, can lead to potential litigation for both the screening firm and its clients https://lnkd.in/gs3U8Uvg

Reminder to businesses owners who are required to apply, the deadline for compliance of the Corporate Transparency Act is approaching – January 1, 2025 (for entities that were formed prior to 2024). You may need to register and report beneficial ownership to FinCEN as you could risk civil or even criminal penalties. Please remember the Beneficial Ownership registration can only be completed directly through FinCEN’s website. Read all the details about this law on our blog.  https://lnkd.in/gQ-bAKZa

Amanda Hulme, TLT's Head of Financial Services Regulation, comments on HMT's proposals for amendments to payments regulation that will impact on the drafting of bank account terms: “Some of these changes will be welcomed by industry, who have wanted to the ability to slow down payments where there is suspected fraud. However, the changes will bring with them operational changes too. There is only an indicative timescale for when the legislation may be made and uncertainty on go live dates, which is likely to give rise to implementation challenges.” For the key points you need to know about the legislative changes impacting payment account terms and processes, visit our website: https://lnkd.in/eKNt_zTJ

If you are grappling with the various PSRs changes that will impact payment accounts, we have pulled the key points together.

In this edition of the Regulatory Compliance Roundup: 🚫 Judge Rejects Small-Biz Rule Challenge 💸 Cash-Back Fees Report ⚡️ Quickly Responding to Interest Rate Changes ...and more! https://bit.ly/3Mx8Vqr

This is fascinating. Rarely do details like this get published when it relates to the Big Banks. Beyond the voyeuristic appeal of this though, is the fact that the Bank hired external investigators to assess the truth behind the whistleblower's assertions, and that they were quite conclusive in their findings, as evidenced by the details disclosed in the statement of defense. That said, apparently, these kinds of employer-orchestrated investigations can often be successfully challenged in court, for not being fair and balanced for all parties, thereby nullifying/reducing their value in court. The other interesting thing to watch for....will be if there is a financial settlement to avoid court proceedings, which large corporations will often prefer, but when an issue is this public, the Bank may face the wrath of shrareholders for not acting prudently with shareholders' money, by not defending the Bank's interests in court. More to come to be sure.....