How the New CFPB Proposed Rule Impacts the Consumer Lending Industry
The Consumer Financial Protection Bureau (CFPB) has proposed a rule to require lenders that make most short-term consumer loans (term of 45 days or fewer for a loan or advance) and certain consumer loans with a term of more than 45 days to determine the consumer’s ability to repay the loan. The proposal would also restrict a lender from making a covered loan if a consumer has, or recently had, certain outstanding loans. This proposal, if adopted in its current form, will significantly affect the consumer lending industry and those who offer ancillary products on the loans.
Once final, the CFPB’s consumer lending regulation will have a major impact on consumer lenders. Consumer lenders should begin to learn what the CFPB wants to do, and how it would affect their operations. Affected industries should consider commenting on the proposed rule (public comments are due September 14).
The webinar by expert speaker Chrys D. Lemon will review which loans would be covered under this rule and how the CFPB rule would affect the consumer lender’s ability to offer most consumer loans.
Learn which consumer loans the proposal would cover and which are exempt.
What would be required to determine a borrower’s “ability to repay” a loan? Other requirements and restrictions.
Receive a complete, detailed, easy-to-use summary of all aspects of the proposed rule.
Discuss how the industry might shape the final rule by submitting public comments.
How the proposed rule could affect your consumer lending procedures.
The different ways a lender would be able to satisfy the requirement to determine a borrower’s “ability to repay the loan,” including safe harbors.
Restrictions on loan payments.
Information and record-keeping requirements.
Who Should Attend
Retail bankers and other consumer lenders
Legal counsel and compliance managers involved in consumer credit that is not secured by real estate;
Those involved in credit insurance or debt protection products
Chrys Lemon is a partner in McIntyre & Lemon, PLLC, in Washington, D.C. He specializes in financial services law, particularly related to marketing of consumer financial products and services, privacy law, insurance law, and regulation of financial institutions by the Consumer Financial Protecti...
Disclaimer: The content herein does not represent any association between CFPB and Eli Financial LLC. CFPB neither endorses any product of Eli Financial LLC nor warrants accuracy of the content hereto.