On 31, 2020, the California legislature passed the California Consumer Financial Protection Law (CCFPL) august. Regulations reflects Governor NewsomвЂ™s eyesight of a more banking that is powerful with brand brand brand new enrollment authority, UDAAP authority mirroring the authority of this CFPB, and expanded enforcement authority. But essential amendments adopted because of the legislature will exempt many regulated entities through the range for the legislation and can impose limitations on the brand new Department of Financial Protection and InnovationвЂ™s (DFPI) workout of the authority.
We talk about the reorganization and expansion of this banking regulator that accompanies the title switch towards the DFPI inside our companion client alert. We highlight the important thing conditions associated with the CCFPL below.
Give attention to Customer Protection
Although all of the CCFPL comes directly from Dodd-Frank Act Title X, the statutory function varies through the function and goals of Dodd-Frank. The legislative findings assert that вЂњlack of [a dedicated economic solutions regulator with broad authority over providers of financial loans and solutions] has left customers susceptible to abuse and forced California organizations to compete with unscrupulous providers.вЂќ They make reference to UDAAP and also to discriminatory methods numerous times. Continue reading “CFPB Ca Style: The California Customer Financial Protection Law Brings More Prov Morrison & Foerster LLP”