On Friday, October 1 AFSA’s State Government Affairs (SGA) team published their October White Paper covering credit repair organizations. Credit repair organizations claim to seek to improve a consumer’s credit score by having negative information removed from a consumer’s credit report. However, improving credit takes time and commitment to a repayment plan—there is no quick fix for bad credit—so many credit repair organizations use aggressive marketing tactics that intentionally mislead consumers with overblown claims regarding their ability to improve a consumer’s credit score. While it is legal to dispute and remove inaccurate information, credit reporting agencies cannot remove accurate information that negatively affects a person’s credit score.
The credit repair industry is regulated by the federal Credit Repair Organizations Act and the Fair Credit Reporting Act, as well as laws in 38 states and the District of Columbia, but many credit repair organizations still engage in unethical and illegal practices, such as trying to have accurate credit information removed. The white paper describes some of the other harmful practices, including falsifying identity theft claims and overwhelming furnishers with baseless requests. The white paper also describes recent lawsuits state and federal regulators have filed against credit repair organizations.
The white paper was released in conjunction with AFSA’s new survey of state credit repair laws. The paper is also available under the State Resources section of AFSA’s website.
AFSA White Paper Tackles CROs
Oct 13, 2021
On Friday, October 1 AFSA’s State Government Affairs (SGA) team published their October White Paper covering credit repair organizations. Credit repair organizations claim to seek to improve a consumer’s credit score by having negative… Read the rest
Perspectives & Predictions
Oct 08, 2021
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Join us at the 2021 Annual Meeting in Washington, D.C., from October 24 through October 27, highlighted by our AFSA Leadership Roundtable Roundtable.
Join AFSA President & CEO Bill Himpler, AFSA Chairman Tom Hudgins, … Read the rest
On the Nomination for Comptroller of the Currency
Oct 07, 2021
Today, the American Financial Services Association released a statement regarding the nomination of Saule Omarova to serve as the Comptroller of the Currency.
The nomination of Saule Omarova to serve as Comptroller of the Currency raises… Read the rest
TOMORROW | Is your company keeping up with the times?
Oct 06, 2021
Advancing technology, evolving regulations and a necessary shift to online transactions due to the pandemic has resulted in profound changes in the specialty finance industry. Many lenders have struggled to keep up with the digital demands… Read the rest
Can’t Join Us at the Annual in Person?
Oct 05, 2021
While we expect almost 300 AFSA Members and Business Partners to gather in Washington, D.C., we know that some Members and Business Partners are still operating with travel restrictions. To meet their needs, AFSA will offer a Digital Pass… Read the rest
October Featured Business Partner: Hudson Cook, LLP
Oct 04, 2021
October’s Featured Business Partner is Hudson Cook, LLP. We asked them a few questions about the state of play in Washington as we move into 2022. Learn more at hudsoncook.com.
What recent developments at the federal regulators should… Read the rest
About That CFPB Report on Subprime Auto Loans
Oct 04, 2021
Yesterday, the Consumer Financial Protection Bureau released a report entitled, Data Point: Subprime Auto Loan Outcomes by Lender Type. The report compares the interest rates on subprime auto loans made by small and large Buy Here Pay … Read the rest
House Committee Holds Hearing on the Future of Banking
Oct 01, 2021
Yesterday, a House Financial Services Subcommittee held a hearing on how bank consolidation and the emergence of nonbank financial technology companies (fintechs) are reshaping the banking system. In recent years, fintechs have gained… Read the rest
RELEASE | AFSA Welcomes Chopra Confirmation
Sep 30, 2021
Today the U.S. Senate confirmed Rohit Chopra as Director of the Consumer Financial Protection Bureau (CFPB). The following statement should be attributed to Bill Himpler, President and CEO of the American Financial Services Association… Read the rest
AFSA Files Amicus Brief in Arbitration Case
Sep 29, 2021
The American Financial Services Association (AFSA) filed an amicus brief before the Missouri Supreme Court in a case involving the enforceability of arbitration provisions in loan agreements. In Bridgecrest Acceptance Corp. V. Kelly … Read the rest