CFPB Schedules Symposium on Elusive UDAAP Definition
The agency is trying to craft a better definition of "abusive acts or practices" - something CU leaders have been demanding.
The CFPB on June 25 will hold a symposium on one of the thorniest issues in the Dodd-Frank Act—defining “abusive acts or practices.”
The announcement comes less than a month after the agency placed guidance on the definition on the regulatory back burner.
“The meaning of abusiveness is less developed than the meaning of unfair or deceptive, which have been defined substantially by the Federal Trade Commission Act,” the CFPB said, in announcing the symposium—the first in a series the agency will hold.
CFPB Director Kathy Kraninger and Deputy Director Brian Johnson will speak at the meeting, which also will feature two panels.
The first will have academic experts discussing various policy issues and the second will feature legal experts.
Last month, when the CFPB issued its Spring regulatory agenda, the issue was listed in its “long-term action” section.
The items in that section “are items under development but for which the agency does not expect to have a regulatory action within the 12 months after publication of this edition of the Unified Agenda,” the Office of Management and Budget stated in its compilation of upcoming rules.
Credit union trade groups have urged the agency to develop a definition, calling it regulation by enforcement.