Month: September 2021

Acting Superintendent of Financial Services Adrienne A. Harris announced a new proposed regulation implementing the New York Commercial Financing Disclosure Law (“CFDL”) for small businesses commercial financing. The proposed regulation requires companies that offer commercial financing in amounts under $2.5 million to make disclosures somewhat like those required by the federal Truth in Lending Act and Regulation Z. The CFDL mandates certain disclosures for commercial financing is effective January 1, 2022. See our Alert dated Dec. 14, 2020. Read More

The Texas federal district court issued a Final Order granting summary judgement to the Consumer Financial Protection Bureau in a case challenging the validity of the Payment Provisions of the CFPB Payday Loan Rule. The decision means that the Payment Provisions will go into effect, but the court sided with the trade associations and extended the compliance date stay for 286 days after the final judgment. At the time the stay was entered, there were 286 days remaining before the Payment Provisions were required to be implemented by lenders. The court was persuaded that the industry should receive the full benefit of the temporary stay and noted that the delayed compliance date would allow time for appeal. While the decision in favor of the CFPB is disappointing, the delayed compliance date is good news. Read More

Nebraska passed L. B. 363 in March of 2021, effective March 18, 2021, to expand the scope of several key consumer finance statutes to require licensing of entities that acquire any servicing rights or other forms of participation, among other new licensing triggers. Below is a summary of the key provisions. Read More