The CFPB has withdrawn without public comment its proposed interpretive rule on “Electronic Fund Transfers through Accounts Established Primarily for Personal, Family, or Household Purposes Using Emerging Payment Mechanisms,” which would have clarified that certain federal consumer protections found in the Electronic Fund Transfers Act apply to certain emerging digital payment applications, such as virtual currency wallets, credit card reward points, and video game account funds.

The CFPB has rescinded its prior 2022 interpretation that instructed (1) that States can enforce any provision of the Consumer Financial Protect Act and potentially any federal consumer financial law; (2) that States are not subject to the same restrictions as the CFPB under the CFPA (such as the exemption of motor vehicle dealers); and (3) that both the CFPB and states can bring separate (“concurrent”) enforcement actions against the same entity. The Bureau’s new interpretation specifically disavows each of these prior interpretations, though the legal weight courts will place on this disavowal remains in question.

The CFPB has withdrawn without public comment its proposed “Data Broker Practices” Rule, which would have ensured that data brokers are considered “consumer reporting agencies” under Fair Credit Reporting Act (FCRA) when they sell certain sensitive consumer information, requiring them to comply with accuracy requirements, provide consumers access to their information, and maintain safeguards against misuse

CFPB is withdrawing its proposed rule on data broker practices. The rule would have made clear that when data brokers sell certain sensitive consumer information they are “consumer reporting agencies” under the Fair Credit Reporting Act (FCRA), requiring them to comply with accuracy requirements, provide consumers access to their information, and maintain safeguards against misuse.

The SEC’s deputy director of enforcement said that the industry can expect a “more sympathetic ear” when it comes to the imposition of penalties. The SEC should not be forecasting, let alone implementing, a policy that says securities law violators will have an easier time avoiding stiff penalties in the future.

The CFPB announced that it will no longer “prioritize enforcement actions” under the Bureau’s Biden-era Buy-Now, Pay-Later rule, which would have required certain fintech lenders to comply with more stringent consumer protections, including standardized disclosures, refund processing and formal dispute investigations. The Bureau also indicated that it is considering rescinding the rule entirely.