CFPB Dismisses Ill-Conceived Suit
AFSA is pleased to learn that the CFPB has dropped the ill-conceived suit it brought against Heights Finance and its affiliates (“Heights”). This suit was initiated by the CFPB under the leadership of former director Chopra with much fanfare in August of 2023. Despite Heights being consistently licensed and examined under many state laws, the CFPB attempted to paint normal business practices that are fully compliant with the Truth in Lending Act and other applicable laws as somehow being improper.
It is telling that the allegations in this suit had no basis in the specific laws that the CFPB was created to enforce. Rather, this is a clear example of the CFPB attempting to make new law, commonly known as regulation by enforcement. AFSA commends the CFPB’s leadership in resolving this matter as an early step toward consistent and transparent supervision of consumer financial products and services for the benefit of consumers and industry alike.
March 3rd, 2025