CFPB fines TitleMax $9 million

On September 26, the CFPB issued a press release announcing that it has entered into a consent order with TMX Finance, LLC (TMX). The consent order settles allegations that the title lender engaged in unfair collection practices and failed to provide sufficient information to consumers regarding the terms of auto title loans, pawns or pledges. TMX is required to pay a $9 million penalty to the Bureau’s Civil Penalty Fund.

CFPB issues proposals for debt collection regulation

The CFPB moved one step closer to issuing a debt collection rule last week when it unveiled its 117 page outline of proposals in conjunction with the field hearing in Sacramento, California. Director Cordray’s opening speech echoed the prepared remarks issued before the field hearing which emphasize the high rate of complaints that the debt collection industry draws and the need to heighten industry standards by overhauling existing regulation.