CFPB Director Cites Improved Consumer Financial Markets

Consumer Financial Protection Bureau ("CFPB") Director Richard Cordray said "vigorous dialogue" with the Consumer Bankers Association ("CBA") has led to improvement in the consumer financial market, including: (i) cheaper and more available credit under the 2009 CARD Act and a safer, more affordable credit card market with more opportunities available to consumers; (ii) improved mortgage lending practices in general and under the CFPB Ability-to-Pay mortgage rule in particular, and (iii) modified consumer behavior through financial education. In remarks before the CBA, Director Cordray outlined improved CFPB practices:

• Supervision Program: CFPB supervision tools have "grown into a rigorous, data-driven program based on sound analytics."

• Public Consumer Complaint Database: CFPB has improved an automated portal system of processing complaints "to respond in a timely and consistent manner."

• Transparency: The publishing of Supervisory Highlights has (i) made public specific information to identify consistent problems and (ii) provided detailed guidance about enforcement actions for compliance officers. Director Cordray emphasized that the CFPB strives to present specific enforcement orders that meticulously catalogue the investigations' facts and legal conclusions. The specific orders are intended as guides to avoid similar violations and to correct similar improper practices.