Today the California Assembly adjourned without reconsidering the “COVID-19 Homeowner, Tenant, and Consumer Relief Law of 2020,” (AB 2501), which if approved would have required creditors to provide up to nine months of vehicle payment relief-with a repossession ban for two years (except under certain circumstances)-and 12 months of mortgage payment relief.
It would have significantly hindered consumers’ access to credit, and weakened broader capital markets, by effectively turning vehicle secured credit obligations into unsecured loans. This may have led to ratings downgrades for vehicle asset-backed securities and certainly would have led to a collapse in confidence in the marketplace. Below is AFSA's statement on the legislation from Danielle Fagre Arlowe, Senior Vice President and head of the State Government Affairs Department:
The American Financial Services Association and its member companies are pleased that the California Assembly declined to approve AB 2501. The legislation, while well intentioned, would have created greater economic hardship for consumers and businesses alike by limiting consumers’ access to credit and undercutting confidence in some forms of asset-backed securities in the capital markets.
The COVID-19 pandemic has created a unique set of circumstances for American consumers and businesses, and the consumer credit industry has taken unprecedented steps over the past four months to work with consumers to ensure the economic disruption many have experienced does not create undue hardship on them. AFSA and its members have made clear their ongoing commitment to work with their customers to resolve any financial challenges they may continue to experience in the months ahead.
Today the California Assembly adjourned without reconsidering the “COVID-19 Homeowner, Tenant, and Consumer Relief Law of 2020,” (AB 2501), which if approved would have required creditors to provide up to nine months of vehicle… Read the rest
The Consumer Financial Protection Bureau (CFPB) today launched a pilot advisory opinion (AO) program to publicly address regulatory uncertainty in the Bureau’s existing regulations. In a July 2018 letter to the CFPB on guidance,… Read the rest
Cox Automotive Chief Economist Jonathan Smoke returns on June 18 at 2:00 p.m. ET to keep lenders apprised of market conditions and financial predictions – particularly with off-lease inventory expected to surge and used retail to … Read the rest
Join senior leaders of the American Financial Services Association (AFSA) for AFSA Premier Partner Solutions by Text’s “Virtual Lunch and Learn Huddle Week” from June 15th through the 19th.
At 1:00 p.m. ET each day, Solutions… Read the rest
AFSA President & CEO Bill Himpler sent the below message to members yesterday afternoon remarking on the passing of Ray Biggs, who left an indelible mark on the consumer credit industry.
Members:
I am saddened to share the news that… Read the rest

Better Together!
Save the Date for the 2020 AFSA Annual Meeting and Independents Conference & Expo
October 4-7 at the Grand America Hotel in Salt Lake City, Utah
The American Financial Services Association is – in a single event… Read the rest
AFSA has been working hard during the coronavirus pandemic to protect access to consumer credit and choice. To the left are some of the many initiatives that AFSA has undertaken. On the AFSA Extra Credit Podcast, recorded last wekk, we spoke… Read the rest
The American Financial Services Association (AFSA) today submitted a comment letter to Senate Committee on Small Business and Entrepreneurship Chairman Marco Rubio (R-FL) and Ranking Member Ben Cardin (D-MD) regarding expanding access… Read the rest
In late May the Federal Reserve finally announced details of its next highly appreciated emergency lending facility, the Main Street Lending Program (MSLP). The goal of the MSLP is tohelp small and medium-sized businesses that were financiallysound… Read the rest