States Prepare to Step in If CFPB Enforcement Slows in 2018
Partner Ashley Taylor is quoted in a Bloomberg BNA story, “States Prepare to Step in If CFPB Enforcement Slows in 2018.” The story highlights several potential areas where states may intervene in the absence of Consumer Financial Protection Bureau involvement. Specifically, the story mentions payday lending, debt collection, mortgage servicing, auto finance, student debt and tribal lending. Taylor is quoted about the latter, predicting more oversight of tribal lending arrangements by state authorities to prevent rent-a-tribe schemes. He says, “The tribe has a right to create an entity regulated by tribal law, but if they don’t do that properly, then tribal law will be seen as a fig leaf or a sham and state law will kick in.” Taylor also is quoted about online lending, saying, “There’s a big focus on the online lending space in licensing and especially from a consumer disclosure perspective. That’s important because Dodd-Frank gave states the ability to enforce consumer protection provisions.”