The Consumer Financial Protection Bureau is reversing course on its earlier decision to eliminate the procedures under which state officials must notify the bureau if those officials plan to enforce the Consumer Financial Protection Act.
The CFPA requires states to notify the bureau and prudential regulators before initiating any court or regulatory actions enforcing the law. The CFPB has a set of procedures for how state officials should go about doing that. However, in May, the bureau announced that it planned to eliminate the requirements as part of President Trump’s order for agencies to roll back unnecessary regulations, but added it would not finalize the rescission if it received “significant adverse comments.”
In a notice to be published Monday in the Federal Register, the CFPB said it received significant adverse comments and therefore is withdrawing its proposal.