CFPB Issues Supervisory Compliance Bulletin
On January 27, the Consumer Financial Protection Bureau (CFPB) issued a press release titled CFPB Issues Supervisory Compliance Bulletin.
CFPB Issues Supervisory Compliance Bulletin
Bulletin Reminds Companies of Existing Legal Responsibilities Regarding Treatment of Confidential Supervisory Information
WASHINGTON, D.C. – The Consumer Financial Protection Bureau (CFPB) issued a bulletin today to remind supervised financial institutions, including nonbank companies that may be unfamiliar with federal supervision, of existing regulatory requirements regarding confidential supervisory information. The CFPB supervises companies to determine their compliance with federal consumer financial laws, to assess risks to consumers, and to help ensure a fair and transparent marketplace for consumers.
“The CFPB’s supervision program holds companies accountable for how they treat consumers,” said CFPB Director Richard Cordray. “The Bureau’s oversight of banks and nonbanks alike helps to level the playing field for all companies, and to ensure a fair and transparent marketplace for consumers.”
The CFPB has supervisory authority over banks and credit unions with assets over $10 billion, and their affiliates. The Bureau is also the first federal agency with supervisory authority over certain nonbank financial companies such as mortgage lenders and servicers, payday lenders, and private student lenders, as well certain large debt collectors, consumer reporting agencies, student loan servicers, and international remittance providers.
The bulletin issued today provides guidance on what types of information constitute confidential supervisory information. The bulletin also explains that disclosure of confidential supervisory information is not allowed, with limited exceptions.
The CFPB is aware that some supervised financial institutions may have entered into non-disclosure agreements that purport to restrict the institution from sharing information with a regulator, or to require the institution to notify a third party when it shares information. However, the bulletin explains that provisions in non-disclosure agreements do not alter or limit the Bureau’s existing supervisory authority or the supervised financial institution’s obligations relating to confidential supervisory information.
The compliance bulletin is available at:
http://files.consumerfinance.gov/f/201501_cfpb_compliance-bulletin_treatment-of-confidential-supervisory-information.pdf
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Please click here to view the press release online.
Please click here to view media coverage (DS News 1/27/15) of the bulletin.
About Safeguard
Safeguard Properties is the mortgage field services industry leader, preserving vacant and foreclosed properties across the U.S., Puerto Rico, Virgin Islands and Guam. Founded in 1990 by Robert Klein and headquartered in Cleveland, Ohio, Safeguard provides the highest quality service to our clients by leveraging innovative technologies and proactively developing industry best practices and quality control procedures. Consistent with Safeguard’s values and mission, we are an active supporter of hundreds of charitable efforts across the country. Annually, Safeguard gives back to communities in partnership with our employees, vendors and clients. We also are dedicated to working with community leaders and officials to eliminate blight and stabilize neighborhoods. Safeguard is dedicated to preserving today and protecting tomorrow. Website: www.safeguardproperties.com.
