Get a coffee a sit down…
They will distribute Consumer Financial Protection Circulars to other federal agencies and state regulators having authority over providers of financial services, such as banks and nonbanks.
Some of these agencies include state attorneys general and state regulators, such as those supervising, examining, and enforcing pawn laws and statutes.
Why this is important to Pawnbrokers…
This new system provides guidance to these other agencies on how the CFPB intends to enforce federal consumer financial law. Their information gathering is allowing them “to identify a number of issues that would benefit from clear and consistent enforcement.”
Many types of financial services providers, including pawnbrokers, are subject to the jurisdiction of multiple state and federal agencies. Therefore, the CFPB is stressing the importance for these agencies to consistently enforce the laws the CFPB administers.
So, in reading this May 16, 2022, announcement (found on the CFPB website under the ‘Compliance’ tab) I cannot help but wonder how these other long-established agencies will appreciate this relatively new Consumer Financial Protection Bureau telling them how to do their jobs.
COMPLIANCE!!! Stay in your lane and color inside the lines. Just sayin’