Consumer Finance
One of the most significant consumer finance firms in the US market.Chambers USA
Practice Overview
Consumer financial services is one of the nation’s most heavily regulated industries. Whether a company is addressing compliance with governing regulations, considering a significant transaction, navigating matters relating to regulatory supervision, or facing an enforcement action or litigation, having an experienced legal team is foundational for long-term success.
With more than 100 lawyers focusing on consumer finance, Buckley has an industry-leading team that is seasoned in counseling clients on the ever-growing array of statutes and regulations that govern consumer financial products and services. Our lawyers are intimately familiar with these laws and regulations through their daily work, and in many instances, have been involved in their drafting. The depth of our work in this field enables us to offer an unparalleled view across the playing field as companies seek to tackle current challenges and look around the corner to address emerging risks.
From money-center banks to start-ups, Buckley advises clients across products, markets, and industries. Our clients include depository institutions; mortgage companies; auto, student, and specialty lenders; secondary market loan purchasers; credit, debit, and payment card companies; the full spectrum of online financial services programs, including marketplace lenders and other fintech companies; money transmitters and payment processors; debt collectors and debt buyers; and retail installment sellers. In addition, we represent private equity firms that own these companies or are considering acquiring them.
We regularly counsel clients in matters involving the Consumer Financial Protection Bureau (CFPB), Office of the Comptroller of the Currency (OCC), Federal Deposit Insurance Corporation (FDIC), Federal Trade Commission (FTC), the Department of Housing and Urban Development (HUD), the Department of Justice (DOJ), state attorneys general, and other federal and state regulators.
Our notable work includes:
- Represented Flagstar Bank in the first CFPB enforcement action regarding the CFPB’s mortgage servicing rules that resulted in an administrative consent order settlement for $37.5 million relating to default servicing loss mitigation practices
- Represented Verizon Wireless in a settlement with CFPB, Federal Communications Commission (FCC), and 51 attorneys general alleging that Verizon Wireless permitted third parties to place unauthorized charges on consumers’ wireless phone bills
- Represented a payday loan/check cashing management company in an FTC enforcement action regarding the Fair Credit Reporting Act Disposal Rule and the Gramm–Leach–Bliley Act Safeguards Rule
- Represented JPMorgan Chase Bank in a joint CFPB and Maryland Attorney General investigation into allegations that loan officers accepted leads and marketing assistance from a now-defunct title company in exchange for referrals to the title company. The investigation resulted in a settlement for less than $1 million with no admission of liability
- Conducted an enterprise-wide compliance risk assessment for a top five consumer finance company to assess the strength of the company’s compliance management system in preparation for CFPB supervision
- Conducted a compliance gap analysis for a consumer finance company with a multistate footprint to evaluate regulatory risk under federal consumer protection laws. Providing ongoing regulatory counseling and transactional advice for the company
- Represented numerous correspondent lenders in actions for breach of contract and indemnification brought by the ResCap Liquidating Trust as successor to Residential Funding Company (RFC) arising from the sale and subsequent securitization of residential mortgage loans
One of the most significant consumer finance firms in the US market.Chambers USA
Articles
"Dorian update: How state laws protect servicemembers" by Jeffrey P. Naimon, Sasha Leonhardt, and Jessica M. Shannon (Law360)
Hurricane Dorian devastated the Bahamas and southeastern United States in late August and early September, and the governors of Florida, Georgia, North Carolina, South Carolina and Puerto Rico authorized the activation of state National Guard forces for response efforts. In addition, the Rhode...
Articles"Reducing the regulatory risk of merchant cash advances and factoring" by Clinton R. Rockwell, Moorari K. Shah, and Lauren Frank (Law360)
A growing number of courts and regulators have reached different conclusions on whether factoring and merchant cash advances constitute loans subject to state lender licensing and usury regulations, leaving many factoring companies and their clients without legal certainty about the nature of the...
Articles"What to expect from increased FTC-state AG collaboration" by Michelle L. Rogers and Katherine L. Halliday (Law360)
In prepared remarks at the winter meeting of the National Association of Attorneys General on March 5, 2019, Federal Trade Commission Chairman Joseph Simons advocated for increased collaboration with state attorneys general and noted that such collaboration is critical to the FTC’s mission. His...
Articles"Breaking down (language) barriers: A practical approach to LEP borrowers" by Jessica L. Pollet and Susanna K. Sedrak (Westlaw Journal)
In roughly 5.3 million households in the United States, the head of the house doesn’t speak English as the primary language or has limited ability to understand it.1 But like most individuals seeking full participation in the U.S. economy, those with limited English proficiency need access to...
Articles"FTC has big agenda for 2019. How should companies prepare?" by Michelle L. Rogers and Katherine L. Halliday (Bloomberg Law)
Federal Trade Commission Chairman Joseph Simons recently previewed an aggressive and expansive consumer protection agenda for 2019, invoking the commission’s broad powers to pursue unfair or deceptive acts or practices, and adding “fraudulent” to the types of conduct he expects to police. Among the...
Articles"Is the CFPB bound by its non-binding guidance? The implications of the PHH due process decision for TRID and other CFPB rules" by Brandy A. Hood and Steven R. vonBerg
Predictability and certainty are crucial components of the consumer finance market. Consumers crave it, as do industry participants. A common understanding of legal requirements promotes uniformity in the application of consumer protections and allows lenders, servicers, systems providers,...
Buckley Commentary & Analysis"Takeaways from military member complaints at CFPB" by Jeffrey P. Naimon, Sasha Leonhardt, and Christina R. Smith (Law360)
The Consumer Financial Protection Bureau ’s Office of Servicemember Affairs recently released a report highlighting issues facing military consumers based on complaints submitted by service members, veterans and their families. This report identifies categories and trends among the approximately 48...
Articles"The great data breach standing circuit split" by Amanda R. Lawrence and Michael A. Rome (Law360)
Data breaches are back in the news in a big way. Over the past several weeks alone, prominent hotel chains, online platforms and retailers announced significant data breaches. Unsurprisingly, in the aftermath of these disclosures, consumers filed class actions alleging that the data breaches...
Articles"Finding the purpose in bureau civil investigative demands" by Aaron C. Mahler (Bloomberg BNA)
“Why me?” It’s a common refrain whenever something bad happens. It’s also one of the first questions companies ask when finding themselves on the receiving end of a civil investigative demand from the Consumer Financial Protection Bureau. The logical place to look should be the notification of...
Articles"FTC v. D-Link Systems and the internet of things" by Elizabeth E. McGinn, John B. Williams, and Christopher M. Walczyszyn (Westlaw)
As businesses expand the availability of internet-connected devices, Buckley Sandler LLP attorneys Elizabeth McGinn, John Williams and Christopher Walczyszyn address the Federal Trade Commission’s role in regulating and enforcing “internet of things” device security to protect consumers’ data...
Articles
News & Blogs
CFPB proposes $8.5 million settlement with background screening company
On November 22, the CFPB announced a settlement with an employment background screening company resolving allegations that the company violated the FCRA. In the complaint , the Bureau asserts that the company failed to “employ reasonable procedures to assure maximum possible accuracy” in the...
InfoBytesNew York blocks use of social networks in credit decisions
On November 25, the Governor of New York signed S2302 , a measure which prohibits entities that are “licensed lenders” in New York, as well as consumer reporting agencies (CRAs), from including a consumer’s social network information in credit decisions. S2302 amends New York’s general business law...
InfoBytesFCRA allowable disclosure charge remains unchanged
On November 27, the CFPB announced that the ceiling on the maximum allowable charge for disclosures by a consumer reporting agency to a consumer pursuant to section 609 of the FCRA will remain unchanged at $12.50 for the 2020 calendar year. The final rule announcing the amount was published the...
InfoBytes11th Circuit reinstates FCRA suit, addresses “false pretenses”
On November 12, the U.S. Court of Appeals for the Eleventh Circuit issued an order reversing in part and affirming in part a district court’s dismissal of claims brought by a consumer who claimed a bank violated the Fair Credit Reporting Act (FCRA) and the FDCPA when it allegedly provided debt...
InfoBytesVA encourages relief for Tropical Storm Imelda-affected borrowers
On November 8, the Department of Veterans Affairs (VA) issued Circular 26-19-29 , encouraging mortgagees to provide relief for VA borrowers affected by Tropical Storm Imelda. Among other forms of assistance, the Circular encourages loan holders and servicers to (i) extend forbearances to borrowers...
InfoBytes2nd Circuit: Failure to clarify static balance of debt is not an FDCPA violation
On November 4, the U.S. Court of Appeals for the Second Circuit affirmed a district court’s decision that a debt collector does not violate the FDCPA by sending notices to consumers that do not clarify that a debt is static. The plaintiff in that case alleged that the defendant violated the FDCPA’s...
InfoBytesDistrict Court certifies payday lending class action
On October 31, the U.S. District Court for the District of New Jersey certified two classes of consumers alleging a payday lender and its subsidiaries charged usurious, triple-digit interest rates on short-term loans originated by a nonparty entity run by a member of a federally recognized Indian...
InfoBytesAgencies adjust threshold for Regulations Z and M
On October 31, the CFPB and the Federal Reserve Board finalized the annual dollar threshold adjustments that govern the application of Regulation Z (Truth in Lending Act) and Regulation M (Consumer Leasing Act) to credit transactions, as required by the Dodd-Frank Act (published in the Federal...
InfoBytesSenate Democrats press CFPB to investigate Pennsylvania servicer’s PSLF management
On October 28, 23 Senate Democrats wrote to CFPB Director Kathy Kraninger urging the Bureau to open an enforcement investigation into a Pennsylvania-based student loan servicer’s alleged mismanagement of the Public Service Loan Forgiveness (PSLF) program. The Senators contend that the servicer’s...
InfoBytesOCC says banks near California wildfires can close
On October 30, the OCC issued a proclamation permitting OCC-regulated institutions, at their discretion, to close offices affected by the California wildfires “for as long as deemed necessary for bank operation or public safety.” The proclamation directs institutions to OCC Bulletin 2012-28 for...
InfoBytes
Press Releases & Announcements
The Legal 500 2019 recognizes 17 Buckley attorneys in five practice areas
The Legal 500 once again ranked Buckley as a top law firm and recognized it in five categories:
- Corporate Investigations and White Collar Criminal Defense: Corporate – Tier 4
- Corporate Investigations and White Collar Criminal Defense: Individuals – Tier 2 ...
Buckley recognized by Chambers USA as a “first-rate firm” in financial services; “crème de la crème” for White Collar practice
Buckley has once again received top recognition in financial services regulation and white collar crime/government investigations from Chambers USA, which ranks the country’s leading firms and lawyers in a range of practice areas based on research and client interviews.
In total...
AnnouncementsThe Legal 500 2018 recognizes five practice areas and 17 attorneys at Buckley Sandler
Buckley Sandler LLP again has been noted as one of the nation’s top law firms by The Legal 500 in its 2018 rankings, with recognition in five practice areas:
- Financial Services: Litigation
- Financial Services: Regulation
- Corporate ...
Buckley Sandler recognized by Chambers USA as “an excellent firm” with “a fine stable of expert attorneys”
Buckley Sandler once again has received top recognition in financial services regulation and white collar crime/government investigations from Chambers USA, which ranks the country’s leading firms and lawyers in a range of practice areas by researching the firms and interviewing...
AnnouncementsBuckley Sandler launches APPROVED licensing service
WASHINGTON, D.C. (March 7, 2018) – Buckley Sandler LLP today formally announced the launch of APPROVED , a new approach to licensing for financial services companies. Buckley Sandler is building upon years of financial services experience and licensing know-how to offer APPROVED, a technology-...
Press ReleasesThe Legal 500 2017 Recognizes Four Practice Areas and 20 Attorneys at Buckley Sandler
Buckley Sandler has again been cited as one of the nation’s top law firms by The Legal 500 in its 2017 rankings, with the recognition of four practice areas:
- Financial Services: Litigation
- Financial Services: Regulatory
- Cyber Law (Data Protection and ...
Our Consumer Finance Team
Partners
Counsel
FYI
"Dorian update: How state laws protect servicemembers" by Jeffrey P. Naimon, Sasha Leonhardt, and Jessica M. Shannon (Law360)
"Reducing the regulatory risk of merchant cash advances and factoring" by Clinton R. Rockwell, Moorari K. Shah, and Lauren Frank (Law360)
"Breaking down (language) barriers: A practical approach to LEP borrowers" by Jessica L. Pollet and Susanna K. Sedrak (Westlaw Journal)
Recent Blog Posts
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December 3, 2019
CFPB proposes $8.5 million settlement with background screening company
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December 3, 2019
New York blocks use of social networks in credit decisions
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December 3, 2019
FCRA allowable disclosure charge remains unchanged
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November 15, 2019
11th Circuit reinstates FCRA suit, addresses “false pretenses”
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November 15, 2019
VA encourages relief for Tropical Storm Imelda-affected borrowers