Weekly Fintech Focus

  • The CFPB shuts down an online lender for repeated failures related to deceptive marketing claims.
  • Some major credit bureaus announce plans to incorporate BNPL installment plans in credit reports.
  • FTC Chair Lina Khan provides comments on the CFPB’s inquiry into big tech platforms’ engagement in payments and financial services.

Continue Reading Fintech Legal Report – Week of January 7, 2022

Weekly Fintech Focus

  • The CFPB and OCC are taking a keen interest in bank overdraft practices.
  • The CFPB is working to encourage coordination with states on enforcement actions and to target repeat corporate offenders.
  • CFPB and HUD once again encourage the use of Special Purpose Credit Programs to remedy historical discrimination.
  • The Kansas City Fed issued a report on Buy Now Pay Later programs.
  • The FTC and DOJ meet with G7 counterparts to discuss competition issues for digital markets.
  • The FTC spotlights a rapid increase in gift card scams.

Continue Reading Fintech Legal Report – Week of December 10, 2021

Weekly Fintech Focus

  • Senators seek information about the CFPB’s agenda for fintech
  • OCC’s Acting Comptroller testifies before the Senate
  • Financial regulators updated guidance on authentication and access to services
  • FTC supports Fed’s efforts to update Regulation II to improve compliance with dual debit network availability
  • OFAC takes action against a payments company for sanctions violations
  • CFPB blogs on consumer benefits and risks of Buy-Now, Pay-Later
  • FINRA issues a report addressing cloud computing adoption by member firms
  • BIS issues a bulletin encouraging entity-based regulation of Big Tech companies

Continue Reading Fintech Legal Report—Week of August 27

Weekly Fintech Focus

  • FDIC issues an updated brokered deposit rule, creating new exceptions relevant to fintechs working with bank partners.
  • FDIC issues a final rule clarifying its expectations for ILC charter applications.
  • CFPB issues an advisory opinion on Special Purpose Credit Programs to clarify how creditors can offer these programs to disadvantaged groups.
  • CFPB grants access to its compliance assistance sandbox to an earned wage access company, which meets the CFPB’s recent guidance on such programs.
  • PayPal wins the first round in its efforts to throw out aspects of the CFPB’s prepaid rule, resulting in a court throwing out certain mandatory disclosures and the 30-day waiting period for digital wallets.
  • New York enacts second-in-nation law requiring disclosures for commercial purpose loans.
  • The CSBS goes to court again to stop the OCC from issuing a charter to a fintech company.

Continue Reading Fintech Week in Review: Week of January 8, 2021

This blog post will briefly explore operational, strategic, and regulatory considerations related to the use of financial technologies by financial institutions in the COVID-19 era.

We specifically view these considerations through the lens of two nearly contemporaneous events from earlier today:

  1. Our law firm’s publication of a Client Update, authored by Youssef Sneifer, regarding the movement of the financial services industry from digital transformation to digital optimization and acceleration, as a result of changes brought about by the COVID-19 pandemic; and
  2. The issuance of COVID-19 supervisory guidance from federal and state regulatory agencies to financial institution examiners regarding, in pertinent part, the manner in which the use and deployment of technology should impact a financial institution’s supervisory rating.

Continue Reading The Impact of COVID-19 on the Use of FinTech by Financial Institutions

A new update published by Perkins Coie’s Investment Management practice, reviews a summary report, issued on June 10, 2020, by the Financial Industry Regulatory Authority (FINRA), regarding the existing and emerging uses of artificial intelligence by securities industry market participants. The report, Artificial Intelligence (AI) in the Securities Industry, reflects nearly two years’ worth