CFPB Proposes Definition of Larger Participants in Auto Financings

On October 8th, the Consumer Financial Protection Bureau published proposed amendments to the regulation defining larger participants of certain consumer financial product and service markets by adding a new section to define larger participants of a market for automobile financing. The new section would define a market that includes grants of credit for the purchase of an automobile, refinancings of such credit obligations, and purchases or acquisitions of such credit obligations (including refinancings). It would also include automobile leases and purchases or acquisitions of such automobile lease agreements. The proposed rule would identify a market for automobile financing and define as larger participants of this market certain nonbank covered persons that would be subject to the Bureau’s supervisory authority. The proposal would also define certain automobile leases as a “financial product or service” under Section 1002(15)(A)(xi)(II) of the Dodd-Frank Act. Comments should be submitted on or before December 8, 2014. 79 FR 60762.

On October 8th, the Consumer Financial Protection Bureau published proposed amendments to the regulation defining larger participants of certain consumer financial product and service markets by adding a new section to define larger participants of a market for automobile financing. The new section would define a market that includes grants of credit for the purchase of an automobile, refinancings of such credit obligations, and purchases or acquisitions of such credit obligations (including refinancings). It would also include automobile leases and purchases or acquisitions of such automobile lease agreements. The proposed rule would identify a market for automobile financing and define as larger participants of this market certain nonbank covered persons that would be subject to the Bureau’s supervisory authority. The proposal would also define certain automobile leases as a “financial product or service” under Section 1002(15)(A)(xi)(II) of the Dodd-Frank Act. Comments should be submitted on or before December 8, 2014. 79 FR 60762.