The Consumer Financial Protection Bureau (CFPB) released a statement on January 26th, 2022, announcing an initiative to address “exploitative junk fees” being charged to consumers in deposit and lending transactions. The CFPB has taken the position that the U.S. economy is negatively affected by inflated back-end fees, which increase the actual cost of services to consumers.
The CFPB issued a request for information seeking public comment from consumers and consumer protection advocates on experiences with fees associated with their bank, credit union, prepaid or credit card account, mortgage, loan, or payment transfers, including:
- Fees for things people believed were covered by the baseline price of a product or service.
- Unexpected fees for a product or service.
- Fees that seemed too high for the purported service.
- Fees where it was unclear why they were charged.
CS continues to monitor this release for any impact to our solution and will inform our clients and partners of any required changes.