The Fourth Circuit this month ruled that the Truth in Lending Act’s offset provision, which prevents credit card issuers from dipping into a consumer’s deposit account to cover outstanding payments on their credit cards, applies to credit cards tied to a home equity line of credit.

The bureau said it is making clear that there is no exception to the federal consumer financial protection laws for new technology and ensuring regulations don’t stifle competition in pricing or favor incumbents.

The CFPB does not intend to seek penalties for violations of the interpretive rule while BNPL lenders are transitioning into compliance in a good faith and expeditious manner.

Trade groups representing banks believe the proposed rule would reduce a lender’s ability to accurately assess a borrower’s ability to repay. Meanwhile, consumer advocacy groups sought to debunk many of the arguments put forth by the opposers of the rule.

In addition to a monetary fine, the CFPB has put compensation limits on Fay Servicing’s CEO if the compliance requirements are not met.

Interest rates continue to be the top priority for borrowers when choosing a mortgage lender, according to a study by Corporate Insight, but borrowers also value interest rate locking options and rate matching.

Used equipment inventories are on the rise, adding to other agriculture equipment ABS risks posed by high interest rates and lower equipment demand, according to Moody’s Investors Service.

The Fourth Circuit has ruled that the Truth in Lending Act’s offset provision covers home equity lines of credit accessed via a credit card.

The company has been hit with $5 million in fines and redress, and must change its practices to be compliant with the CFPB's orders or face additional consequences.

"It is likely to cause significant adverse consequences to banks and consumers, including causing the tightening of credit standards," the ABA said of the CFPB's proposal.