[co-authors: Amelie Hopkins, and Collin Grier]
The 12 months 2021 began with the hope of COVID-19 vaccines and a return to (relative) normalcy, solely to conclude with new variants that offered new challenges and prolonged others longer than anticipated. Regardless of the persistence of the pandemic, in 2021 the buyer monetary providers regulatory panorama started to return to pre-pandemic norms.
Most notably, all through 2021 regulators rescinded flexibilities beforehand supplied to firms within the wake of the pandemic and indicated their intent to strictly supervise and implement firms’ efforts to use COVID-19-related packages and initiatives. For its half, the Shopper Monetary Safety Bureau (CFPB or “the Bureau”) formally rescinded seven coverage statements issued in 2020 that had signaled substantial flexibility in authorized compliance in the course of the early weeks and months of the pandemic. The CFPB’s rescission of the previous administration’s insurance policies successfully revived enforcement of rules that had been relaxed or suspended in an effort to permit business contributors leeway in aiding customers by the pandemic. In asserting the CFPB’s new strategy, then-Performing Director Dave Uejio emphasised business’s and the bureau’s must deal with the pandemic’s affect to customers, noting that “[p]roviding regulatory flexibility to firms shouldn’t come on the expense of customers.” Whereas Performing Director Uejio acknowledged that the pandemic additionally affected the business, the CFPB expressed the view that the monetary providers sector’s demonstrated capability to adapt to post-pandemic realities meant it was “now not prudent to take care of these flexibilities.” Thus, going ahead, the CFPB indicated its intent to return supervisory and enforcement efforts to pre-pandemic ranges, and acknowledged that it might once more train its authority to the complete extent supplied underneath the Dodd-Frank Wall Road Reform and Shopper Safety Act.
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