Point-of-Sale Finance Series: State AGs Filling the Federal Void in Point-of-Sale Finance Enforcement

Point-of-Sale Finance Series: State AGs Filling the Federal Void in Point-of-Sale Finance Enforcement

In this crossover episode of The Consumer Finance Podcast and Regulatory Oversight, Taylor Gess [https://www.troutman.com/professionals/taylor-r-gess/] is joined by colleagues Michael Yaghi [https://www.troutman.com/professionals/michael-yaghi/] and Lane Page [https://www.troutman.com/professionals/lane-r-page/] from Troutman Pepper Locke's State AG [https://www.troutman.com/services/practices/state-attorneys-general/] and Regulatory Investigations, Strategy + Enforcement [https://www.troutman.com/services/practices/regulatory-investigations-strategy-enforcement/] practice groups to discuss the hottest areas of state regulatory activity in the point-of-sale space. With federal consumer protection enforcement pulling back in certain areas under the current administration, state regulatory agencies are stepping into the spotlight to take an industrywide approach to point-of-sale finance. The conversation covers regulatory scrutiny around buy now, pay later (BNPL) products following the CFPB's withdrawal of its interpretive rule, a coordinated seven-state inquiry into the U.S.'s largest BNPL providers, and what providers should be doing now to assess their own compliance posture. They also dig into the solar and home improvement finance sector, where states are challenging fee disclosures and targeting finance provider-merchant relationships, as well as the growing rent-to-own enforcement landscape. The episode closes with a look at what Rohit Chopra's new role leading California's consolidated consumer protection agency could mean for the financial services industry, with both California and New York positioning themselves as state-level successors to the CFPB's prior enforcement mission. Hosted by Simplecast, an AdsWizz company. See pcm.adswizz.com [https://pcm.adswizz.com] for information about our collection and use of personal data for advertising.

MLA and SCRA 103: Beyond Pricing — Non-Rate Protections, Enforcement Pitfalls, and Servicing Considerations

In this third installment of the special series on servicemember protections, Chris Willis [https://www.troutman.com/professionals/chris-j-willis/] is joined by colleagues Taylor Gess [https://www.troutman.com/professionals/taylor-r-gess/] and Jeremy Sairsingh [https://www.troutman.com/professionals/jeremy-colin-sairsingh/] to explore the non-pricing protections under the Military Lending Act (MLA) and the Servicemembers Civil Relief Act (SCRA). The discussion covers the MLA's disclosure and delivery requirements, including the written and oral disclosure obligations that must be satisfied before or at the time credit is extended, and the practical approaches financial institutions use to meet the oral disclosure requirement. The team then turns to the SCRA's broad non-rate protections, walking through litigation protections, collateral protections governing repossessions and foreclosures, and mobility protections that allow servicemembers to terminate residential and auto leases and certain consumer service contracts upon qualifying orders, including the distinction between pre-service and in-service lease terminations and the ongoing DOJ enforcement activity in this space. The episode also covers the MLA's prohibition on mandatory arbitration clauses and anti-waiver requirements, the SCRA's specific form and timing requirements for valid waivers of servicemember rights, and the MLA's payment and contract term restrictions, including prohibitions on military allotments, prepayment penalties, and remotely created checks. The conversation closes with a discussion of the SCRA's anti-retaliation provision and why the prohibition on adverse treatment following a servicemember's invocation of SCRA rights has important implications for credit reporting, account servicing, and system design. Hosted by Simplecast, an AdsWizz company. See pcm.adswizz.com [https://pcm.adswizz.com] for information about our collection and use of personal data for advertising.

Class Action Surge: What a 25% Spike in Federal Filings Means for Consumer Finance

In this episode of The Consumer Finance Podcast, Chris Willis [https://www.troutman.com/professionals/chris-j-willis/] is joined by Erin Edwards [https://www.troutman.com/professionals/erin-e-edwards/] and Simon Fleischmann [https://www.troutman.com/professionals/simon-a-fleischmann/] to break down the most significant trends reshaping the consumer finance class action landscape. With a 25% year-over-year increase in federal class action filings and consumer protection claims leading the charge, the stakes are getting higher for financial services companies. The trio covers critical areas from recent cases to highlight information that every in-house legal team needs to understand about class actions, including the significance of precise class definitions and ascertainability, standing and concrete injury, and evidentiary examination. Whether you're managing active litigation or building a proactive defense strategy, this episode delivers the insights and practical checklist you need to navigate the class action wave. Hosted by Simplecast, an AdsWizz company. See pcm.adswizz.com [https://pcm.adswizz.com] for information about our collection and use of personal data for advertising.

MLA and SCRA 102: Pricing Constraints and the Complexity of Interest Cap Compliance — Servicemember Protections Explained

In this second installment of the special series on servicemember protections, Chris Willis [https://www.troutman.com/professionals/chris-j-willis/] is joined again by colleagues Taylor Gess [https://www.troutman.com/professionals/taylor-r-gess/] and Jeremy Sairsingh [https://www.troutman.com/professionals/jeremy-colin-sairsingh/] to explore how the Military Lending Act (MLA) and the Servicemembers Civil Relief Act (SCRA) impose pricing restrictions that are far more complex than a standard state usury cap, and why that complexity must be accounted for at the product design stage. The discussion dives into the practical complexity of each statute's unique definition of interest. The team breaks down how the SCRA's 6% cap applies to pre-service obligations, which fees count toward that cap, and how the requirement to retroactively reduce and forgive, not defer, interest creates significant system-of-record challenges. They also explain how the MLA's Military Annual Percentage Rate (MAPR) differs from a traditional Truth in Lending Act/Regulation Z Annual Percentage Rate, what charges must be included in the MAPR calculation, and how the bona fide fee exception for CARD Act credit cards works in practice. The episode closes with a discussion of the SCRA's often-overlooked anti-acceleration provision and the regulatory expectation that servicemembers be given the option of a cash refund for forgiven interest rather than automatic principal reduction. Stay tuned for Part 3, which will cover non-pricing protections under these statutes. Hosted by Simplecast, an AdsWizz company. See pcm.adswizz.com [https://pcm.adswizz.com] for information about our collection and use of personal data for advertising.

Point-of-Sale Finance Series: Regulation of Subscription and Auto-Renewal Plans

In this episode of The Consumer Finance Podcast, Chris Willis [https://www.troutman.com/professionals/chris-j-willis/] sits down with Jason Cover [https://www.troutman.com/professionals/jason-m-cover/] and Colin Wilson [https://www.troutman.com/professionals/colin-p-wilson/] to discuss the evolving world of auto-renewal and subscription compliance, including the FTC's click-to-cancel rule, its Eighth Circuit setback, and the states racing to fill the gap. They also spotlight a first-of-its-kind municipal rule proposed by New York City and explain why, even in a deregulatory environment, UDAP authority and ROSCA mean the compliance pressure hasn't gone anywhere. If your business involves subscriptions, recurring billing, or point-of-sale financing, this is a conversation you can't afford to miss. Hosted by Simplecast, an AdsWizz company. See pcm.adswizz.com [https://pcm.adswizz.com] for information about our collection and use of personal data for advertising.