6 New Rules Proposed or Implemented by the CFPB: Arbitration Rule Rescinded. In July, the CFPB published a final rule banning companies from using mandatory arbitration agreements in contracts for specified consumer financial products. Congress swiftly passed a joint resolution disapproving of the final rule, which was signed by the President on November 1, 2017. The rule has since been removed from the Code of Federal Regulations (CFR). Payday Lending and Small-Dollar Loans. In October, the CFPB issued a final rule requiring that payday lenders assess a borrower’s ability to repay on “covered” small-dollar loans. The new rule was scheduled to take effect in January 2018, although compliance with some provisions was not to be required until August 2019. However, the CFPB has since announced its plans to reopen and reconsider the rule. Auto Loans. As reported in last year’s year-in- review, the CFPB proposed a new rule addressing auto title loans in June 2016, which was finalized in October 2017. The rule puts in place new ability-to- repay protections on certain short-term loans. Home Mortgage Disclosure Act (HMDA). In April, the CFPB proposed amendments to clarify certain requirements under the HMDA. The amendments were set to take effect in January 2018 and require that certain lenders collect and disclose to the CFPB data points on mortgage lending activity to assist in the evaluation of community housing needs and discriminatory lending practices. A Number of Significant Enforcement Actions, Including: CFPB Files Lawsuit Against Largest U.S. Student Loan Servicer. In January, the CFPB filed a lawsuit against Navient, the country’s largest servicer of private and federal student loans. The suit alleged that Navient employed certain deceptive servicing practices, including automatically enrolling borrowers in expensive forbearance programs, failing to alert borrowers to payment deadlines, allowing payment processing errors, and providing false information about repayment options. U.S. Attorneys Obtain $296 Million Judgment Against Allied Home Mortgage for Origination of FHA Mortgages. In September, the U.S. District Court for the Southern District of Texas entered a Mortgages $864M 49 Debt Collection + Debt Settlement $264.4M 47 Auto Lending $44.1M 12 Student Lending $204.1M 12 Payday/Small Dollar Lending $96.2M 26 Credit Reporting $41.1M 8 Credit Card $170.5M 5 2017 TOTAL ACTIONS BY PRODUCT