For more information, please visit www.lenderlawwatch.com or www.enforcementwatch.com 5 enforcement actions were fewer, and recoveries less. Notably, we observed a decrease in enforcement actions taken by 2015 and 2016’s main federal actors— the CFPB, the Department of Justice (DOJ), and U.S. Attorneys. This likely is due to the near conclusion of financial crisis-related litigation and the new Administration. Consumer Finance Enforcement Watch will continue to track and monitor these agencies as we expect that this trend will continue in 2018. The Administration and Republican-controlled Congress made their mark in the regulatory arena in 2017. Although the CFPB continued to issue and implement significant new regulations, including expanding ability-to-pay requirements for payday and auto lending, those rules and proposals were met with opposition. Congress repealed the CFPB’s arbitration rule, and has threatened to repeal several other significant CFPB rules through its powers under the Congressional Review Act (CRA). Given turnover at the CFPB and conflict (and litigation) over its control following Director Richard Cordray’s resignation—not to mention the influx of new appointees across all federal agencies—fewer federal enforcement actions and deregulation could be the new norm for the foreseeable future. This, combined with federal agencies continuing to adjust their enforcement and regulatory priorities as they transition away from their financial crisis-era focus and confront new technology, products, and services, means that it is more important than ever that consumer finance companies monitor this shifting landscape. 2017 HIGHLIGHTS Several industries saw a marked decrease in enforcement activity in 2017, largely attributable to shifting Administration priorities and fewer actions arising from the financial crisis. Despite the recent turnover and turmoil at the agency, the CFPB’s regulatory and enforcement branches remained active, proposing and finalizing several new rules and regulations. 2017’s major developments included: State AG or Agency 70 DOJ/USAO 22 CFPB 37 FTC 23 HUD 17 FDIC 3 Federal Reserve 3 OCC 1 Debt Collection + Debt Settlement $264.4M 47 6 - Actions by Product Payday/Small Dollar Lending $96.2M 26 Credit Reporting $41.1M 8 Credit Card $170.5M 5 TOTAL ACTIONS BY AGENCY