Based on reports from the LA Times and the American Banker, Californian Gov. Gavin Newsom “is planning to create a powerful state Consumer Financial Protection Bureau with expanded oversight of nonbank financial institutions and added staff to enforce consumer protection laws. As part of a budget proposal to be released Friday, Newsom is expected to call for a revamp of the current Department of Business Oversight, renaming it the Department of Financial Protection and Innovation, modeled after the federal CFPB.” Story: California governor to unveil plan for state CFPB
In the last year or so, Maryland, Texas and New York have asserted their regulatory control over CRAs on various forms, this may be the broadest attempt yet to regulate the already regulated consumer reporting industry.
Eric J. Ellman is Senior Vice President for Public Policy and Legal Affairs at the Consumer Data Industry Association (CDIA) in Washington, DC. He also served for eight months as Interim President and CEO of the Association. More