NADA Refutes CFPB Proxy Methodology Report

McLEAN, Va. – In response to the Consumer Financial Protection Bureau’s white paper released last week concerning the use of proxy methodology to identify potential discrimination in indirect auto financing, the National Automobile Dealers Association issued a four point rebuttal: The scope of CFPB’s white paper is very limited. It is confined to an analysis ... Read More »

Bill to Rescind CFPB Auto Lending ‘Guidance’ Gains Support in Congress

WASHINGTON – More than 400 new-car dealers and dealer association executives from across the country traveled to the nation’s capital last week urging lawmakers to support a new bipartisan bill that nullifies the Consumer Financial Protection Bureau’s flawed “guidance” on auto lending (NADA). H.R. 5403 – Reforming CFPB Indirect Auto Financing Guidance Act – sponsored ... Read More »

Biweekly Payment Provider Bulks Up Compliance Practices

ORLANDO, Fla. — US Equity Advantage (USEA), a provider of biweekly loan processing for the automotive industry, has added two new components to its compliance practices: a code of ethics and certification test for dealership partners. They are designed to further enhance the consumers’ understanding of the costs and benefits associated with the company’s biweekly ... Read More »

Hudson Cook, LLP Adds Former CFPB Enforcement Deputy as Partner

Hanover, Md. – Hudson Cook, LLP, a nationwide provider of legal compliance services for the financial services industry, announces the addition of Lucy Morris as a partner in its Washington, DC office. Lucy brings 25 years experience in all aspects of consumer finance law and public policy. Lucy will support the firm’s enforcement and compliance ... Read More »

NADA Supports Bipartisan Effort to Reform CFPB Auto Lending Guidance

WASHINGTON – America’s new-car dealers convene on Capitol Hill this week to urge Members of Congress to cosponsor H.R. 5403—the Stutzman-Perlmutter bill. The National Automobile Dealers Association is urging Congress to pass a new bipartisan bill (H.R. 5403) that nullifies the Consumer Financial Protection Bureau’s flawed guidance on auto lending and requires more transparency and ... Read More »

Texas Car Lender Is Accused of Distortion in Subprime Inquiry

The cycle is a familiar one on Wall Street. First comes a lending boom. And then, after the abuses and excesses of a bubble, there is the government crackdown, reported The New York Times. Now, as federal prosecutors and regulators wrap up many of their largest mortgage investigations, they are shifting their focus to another ... Read More »

CFPB Fines Subprime Finance Source $2.75 Million

WASHINGTON, D.C. — On Wednesday, the Consumer Financial Protection Bureau (CFPB) ordered First Investors Financial Services Group Inc. to pay a $2.75 million fine for providing inaccurate information to credit reporting agencies. The issue was related to computer system flaws, which the agency said impacted “tens of thousands” of the auto finance company’s customers. Texas-based ... Read More »

AutoNation Discusses CFPB, Digital Push

FORD LAUDERDALE, Fla. — In a quarter in which it posted record second-quarter earnings per share (EPS) from continuing operations, AutoNation’s F&I operations realized an 11.5% increase in revenue from a year ago and a $9 million, or 5%, increase in total gross profit. Average gross profit per vehicle retailed for the nation’s largest auto ... Read More »

RouteOne to Cover Regulator Scrutiny of F&I Products in Upcoming Webinar

FARMINGTON HILLS, Mich. — RouteOne LLC will discuss the forthcoming scrutiny of F&I products by the Consumer Financial Protection Bureau (CFPB) and the Federal Trade Commission (FTC) during a complimentary webinar on July 23 at 12 p.m. ET. During the webinar, entitled “CFPB and FTC Update: All About Add-Ons,” RouteOne Staff Attorney Joseph Karam and ... Read More »

CFPB to Release White Paper on Proxy Methodology