CFPB Doubled Enforcement Cases Last Year
The consumer financial services space saw a dramatic increase in the number of enforcement cases brought by its watchdog regulator last year. In 2015, the Consumer Financial Protection Bureau (CFPB) more than doubled the number of cases it brought against financial services providers from 34 in 2014 to 70. During both years the CFPB filed 11 lawsuits, but the number of cases that ended in settlements jumped from 23 to 59. Through its enforcement actions, the agency secured more than $6 billion in consumer relief.
The significant increase demonstrates that although regulatory activity may be slowing down, enforcement activity still remains hot in the United States (US). The ramp up has been attributed to the CFPB’s staff additions and the codification of much of the agency’s regulatory authority under the Dodd-Frank Wall Street Reform and Consumer Protection Act (Dodd-Frank Act).