The Roundup: Regulators Pausing Major Proposals, 2025 Compliance Predictions, and Agency Financial Reporting
Welcome to the PerformLine Regulatory Compliance Roundup, home of the latest news, articles, and reports from our industry, curated for you. Let’s get into it.
In this edition: Regulators to pause major proposals until Trump takes office, the California Gov. signs an array of consumer protection bills, the CFPB: 2024 lookback and 2025 predictions for compliance, state consumer privacy laws and the monetization of consumer financial data, the CFPB financial report fiscal year 2024, the FTC issues agency financial report for fiscal year 2024, and the 2025 state of marketing compliance survey.
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Regulators to Pause Major Proposals Until Trump Takes Office
The Fed, FDIC, and OCC have announced they will pause advancing major reforms for the remainder of the year, focusing instead on completing ongoing rulemaking efforts, such as updates to capital and liquidity standards. During a recent congressional hearing, officials emphasized their commitment to agency independence amidst political shifts following the election. Lawmakers debated the role and direction of regulatory oversight, with some calling for a halt to Biden-era initiatives and others stressing the importance of finalizing reforms to address systemic risks identified in previous financial crises. This marks the close of an active period for banking regulation under the current administration.
California Gov. Signs Array of Consumer Protection Bills
California Governor Gavin Newsom has signed a suite of consumer protection bills designed to enhance financial fairness and transparency. Key measures include banning nonsufficient funds (NSF) fees for instantaneously declined transactions, capping overdraft and NSF fees at $14 or the federal limit, and requiring notifications when such fees are charged. Medical debts can no longer be reported on credit files or used in credit decisions, and businesses offering automatic renewals must provide easy cancellation options, such as online click-to-cancel features. These laws aim to reduce financial burdens and promote consumer rights.
Significant Stat: $1.9 Million: The amount sent to consumers who were harmed by fake rental ads and deceptive promises of “free” credit reports from a credit-monitoring service. Read more
The CFPB: 2024 Lookback and 2025 Predictions for Compliance
In 2024, the CFPB had a remarkably busy year, marked by 23 public enforcement actions, 19 finalized rules, 7 proposed rules, 4 supervisory highlights, 5 consumer protection circulars, and over 2.2 million consumer complaints. Additionally, there was one significant ruling from the Supreme Court.
As we look forward to a new year and a new administration, this blog reflects on the events of 2024 and discusses what compliance teams can anticipate in 2025.
State Consumer Privacy Laws and the Monetization of Consumer Financial Data
The CFPB has released a report examining the interplay between state consumer privacy laws and the monetization of consumer financial data. The report highlights that while some state laws grant consumers rights to access, correct, and delete their data, some financial institutions that are subject to federal laws like the Gramm-Leach-Bliley Act (GLBA) may be exempt from providing this information. This exemption may leave consumers vulnerable, as existing federal protections might not adequately address modern data collection and monetization practices. The CFPB emphasizes the need for comprehensive privacy protections to keep pace with evolving financial business models.
CFPB Financial Report Fiscal Year 2024
The CFPB has released its Financial Report for Fiscal Year 2024, highlighting its commitment to transparency and accountability. The report details the CFPB’s operational activities and financial performance, including earning its fourteenth consecutive unmodified audit opinion on its financial statements for fiscal years 2024 and 2023
FTC Issues Agency Financial Report for Fiscal Year 2024
The FTC has released its Fiscal Year 2024 Agency Financial Report, detailing its efforts to protect consumers and promote competition. The report includes audited financial statements and the Office of the Inspector General’s assessment of the FTC’s management accomplishments and areas for improvement. Notably, the FTC received its 28th consecutive unmodified audit opinion, the highest available, underscoring its commitment to responsible resource management and sound financial operations.
2025 State of Marketing Compliance Survey
We’re conducting our annual State of Marketing Compliance survey, and we’re interested in hearing what’s on your radar for 2025.
Share your expertise and insights on marketing compliance trends and expectations, and in return, you’ll be the first to receive a copy of our State of Marketing Compliance Report early next year. Take the survey.
