With total student debt in the country exceeding a trillion dollars, student lending is on everybody’s mind, including the Consumer Financial Protection Bureau’s (CFPB). The CFPB recently published the procedures it will use in examining student lenders. CFPB examiners will be looking to verify that lenders are complying with requirements of federal consumer financial law, including:
- Using accurate, nondiscriminatory advertising or marketing
- Making appropriate disclosures
- Providing borrowers with accurate account information
- Handling borrower inquiries and complaints
Even if the CFPB does not have direct supervision over your credit union, it is a good indication of what regulators will be looking for and the direction of the CFPB as it promulgates new regulations. The examination manual for student lending is a good reminder that the CFPB is working on much more than just mortgage lending!