{ Banner Image }

Consumer Finance Industry Weighs Options as CFPB Encourages Class Actions

by Mona Z. Hanna
Inside Counsel
July 6, 2016

Mona Hanna's article “Consumer Finance Industry Weighs Options as CFPB Encourages Class Actions,” was published in Inside Counsel on July 6, 2016.

From the article...

“Rules proposed by the Consumer Financial Protection Bureau (CFPB) would boost consumers’ability to bring class actions against financial institutions and consumer financial services providers.

The proposed rules would prohibit the use of mandatory arbitration clauses in contracts for
products and services to prevent class actions from proceeding in court. Covering a range of products, from bank accounts and credit cards to auto and student loans, the rules would enable customers to use the court system to bring claims against consumer finance companies. Companies within the financial industry are considering how to comply with the new rule while ensuring their economic sustainability.”