Articles by: Michael Benoit

Compliance Insider: Choice 2.0 … Again

Compliance Insider: Choice 2.0 … Again

Compliance, Opinion May 10, 2017 at 11:50 am

The House Financial Services Committee’s (HFSC) worked on the Financial Choice Act (“Choice Act 2.0”) in April, based on an earlier version from the last Congress (Choice Act 1.0). As often is the case in Washington, what is true today may not be tomorrow, and the landscape for financial reformRead More

The Plot Thickens: U.S. Court of Appeals to Hear CFPB Case

The Plot Thickens: U.S. Court of Appeals to Hear CFPB Case

Compliance, Opinion April 7, 2017 at 11:58 am

On Feb. 16, the U.S. Court of Appeals for the  D.C. Circuit agreed to rehear en banc PHH Corp. v. The Consumer Financial Protection Bureau. Oral argument is set for May 24. As you may recall, the Consumer Financial Protection Bureau alleged that PHH Corp. had accepted illegal kickbacks fromRead More

Like a Dog with a Bone: Is it Time for the CFPB to Drop Disparate Impact?

Like a Dog with a Bone: Is it Time for the CFPB to Drop Disparate Impact?

Compliance, Opinion February 16, 2017 at 11:38 am

On Jan. 18, the Republican staff of the House Committee on Financial Services issued Unsafe at Any Bureaucracy, Part III: The CFPB’s Vitiated Legal Case Against Auto-Lenders. This was the third in a series of reports addressing the Consumer Financial Protection Bureau’s attempts to hold auto finance companies responsible forRead More

Compliance Insider: Time to Read the Tea Leaves Again

Compliance Insider: Time to Read the Tea Leaves Again

Best Practices, Compliance, Opinion January 26, 2017 at 10:30 am

The looming reality of a Donald Trump administration surely has staffers at many agencies in a tizzy, fearing their work over the last eight years is about to be erased. That’s a bit extreme, but it’s human nature to think the worst is going to happen when politics takes anRead More

Compliance Insider: Due Process? Really?

Compliance Insider: Due Process? Really?

Compliance, Uncategorized December 29, 2016 at 10:30 am

On Oct. 11, the U.S. Court of Appeals for the District of Columbia Circuit held that the Consumer Financial Protection Bureau’s structure is unconstitutional. In PHH Corp. v. CFPB, the appellate court found that the director of the bureau “enjoys more unilateral authority than any other officer in any ofRead More

Compliance Insider: Houston, We Have a Problem

Compliance Insider: Houston, We Have a Problem

Compliance November 16, 2016 at 11:30 am

I guess when it rains, it pours. My last two columns dealt with the Consumer Financial Protection Bureau’s proposed rule to regulate small dollar loans and the confusion the proposed rule, if finalized, might create for the vehicle finance industry. Not to be outdone, it seems the Department of DefenseRead More

Compliance Insider: A Rose By Any Other Name

Compliance Insider: A Rose By Any Other Name

Compliance September 22, 2016 at 11:29 am

Last month I wrote about the Consumer Financial Protection Bureau’s proposed rule to regulate “Payday, Vehicle Title, and Certain High-Cost Installment Loans,” and its intrusion into traditional vehicle finance. I’ve spent more time reviewing the proposed rule, and have concluded that the CFPB has very likely drafted a proposal thatRead More

Compliance Insider: Another Step Too Far

Compliance Insider: Another Step Too Far

Compliance, Opinion August 17, 2016 at 11:25 am

The Consumer Financial Protection Bureau recently issued a proposed rule to regulate “Payday, Vehicle Title, and Certain High-Cost Installment Loans.” It purports to cover two categories of loans: Among other things, the proposed rule looks to treat both categories of loans as illegal to the extent the lender does notRead More

Compliance Insider: Politics, Populism, and Polarism

Compliance Insider: Politics, Populism, and Polarism

Opinion June 24, 2016 at 12:29 pm

In yet another example of misplaced priorities, the Consumer Financial Protection Bureau issued its long-awaited proposed arbitration rule. It is, for the most part, consistent with Director Richard Cordray’s comments to the American Constitution Society (described in my April 2016 column) and generally bans class-action waivers in arbitration agreements relatingRead More