Industry awaits semiannual report with regulatory updates from CFPB before House Financial Services Committee hearing.
1/29/2020 12:00
Consumer Financial Protection Bureau Director Kathy Kraninger will testify before Congress in February for the second time since the bureau’s proposed rule for the Fair Debt Collection Practices Act—a prominent topic on the Hill last year—was released.
Lawmakers on the House Financial Services Committee weren’t shy about diving into the rule and other hot button issues at the bureau—such as the debate over its leadership structure making its way through the courts and the consumer complaint database—during last year’s testimony and presentation of Kraninger’s semiannual report to Congress.
Likely to prompt discussion on the committee, chaired by U.S. Rep. Maxine Waters, D-Calif., during its Feb. 6 hearing with Kraninger will be the bureau’s recent policy statement on the use of Unfair, Deceptive, or Abusive Acts or Practices (UDAAP) in CFPB supervision and enforcement actions.
The statement provides much-needed clarity and guidance for the industry, which ACA International advocated for in communications with Kraninger, but critics say it scales back on the bureau’s role to protect consumers.
As is the case with past testimony before Congress, Kraninger will release the bureau’s semiannual report leading up to the Feb. 6 House Financial Services Committee hearing, which is titled “Protecting Consumers or Allowing Consumer Abuse? A Semi-Annual Review of the Consumer Financial Protection Bureau.”
ACA will engage with Congress on the Feb. 6 proceedings and a similar hearing and semiannual review before the Senate Banking, Housing and Urban Affairs Committee will be scheduled as well.
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Under the Microscope: CFPB’s Kraninger Testifies Before House Committee