On July 18, 2024, the Consumer Financial Protection Bureau (CFPB) issued a proposed interpretive rule to regulate offerings in the paycheck advance marketplace. The proposed interpretive rule would deem many paycheck advance products, sometimes marketed as “earned wage advances” or “earned wage access” (EWA) products, as consumer loans subject to the
BNPL – how are governments in the UK, US and Australia responding?
Following on from our previous Regulation Around the World issue on buy now pay later (BNPL), we have published this short briefing note which provides a high-level snapshot of the state of play for BNPL legislation in three key markets – UK, US and Australia.
CFPB takes steps to regulate “Buy Now, Pay Later” providers
The Consumer Financial Protection Bureau (CFPB) on May 22, 2024 issued an interpretive rule that imposes some of the same rules on Buy Now, Pay Later (BNPL) providers that apply to conventional credit card providers. Specifically, the rule applies to digital user accounts used to access credit, including to those providers that market loans as
Supreme Court rules CFPB funding structure is lawful
In a 7-2 decision, the Supreme Court of the United States ruled on May 16, 2024 that the current funding structure for the Consumer Financial Protection Bureau (CFPB) is constitutional. In Consumer Financial Protection Bureau et al. v. Community Financial Services Association of America, Ltd., et al., the Court held that the CFPB’s independent funding
CFPB proposes new federal supervision of certain providers of digital wallets and payment apps
On November 7, 2023, the Consumer Financial Protection Bureau issued a proposed rule to supervise larger nonbank companies that offer services like digital wallets and payment apps.
Read our client alert here.