CFPB Acting Director Prioritizes COVID-19-Related Relief and Racial Equity

In a public statement posted on the CFPB's blog, CFPB Acting Director Dave Uejio stated that his priorities for the agency are "(1) relief for consumers facing hardship due to COVID-19 and the related economic crisis, and (2) racial equity."

Mr. Uejio expressed concern about companies failing to properly administer relief through the pandemic crisis. Pointing to assessments made last year, he highlighted that:

• mortgage servicers supplied consumers with incorrect or incomplete information regarding Coronavirus Aid, Relief, and Economic Security ("CARES") Act forbearance options;
• mortgage servicers failed to process requests for forbearance;
• mortgage servicers charged and collected late fees despite forbearance approval;
• student loan servicers denied forbearance extensions because of a lack of response from loan holders;
• companies misreported accounts to credit bureaus;
• some banks offset stimulus payments and unemployment insurance benefits to cover debts and bank fees; and
• banks accepted Paycheck Protection Program applications only from pre-existing customers, which may have had a disproportionate impact on minority-owned businesses.

Mr. Uejio instructed the CFPB's Supervision, Enforcement, and Fair Lending Division to, among other things, expedite COVID-19-related enforcement investigations. He also expressed an intention to reverse the policies of the previous administration that "weakened enforcement and supervision."