CFPB seeks clear authority to supervise Military Lending Act compliance

The Consumer Financial Protection Bureau (CFPB) is asking Congress to grant the agency compliance supervision concerning the Military Lending Act (MLA).

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CFPB Director Kathleen L. Kraninger recently forwarded correspondence to Congress requesting the action. She also sent a legislative proposal to the House of Representatives Speaker and the vice president in his capacity as president of the U.S. Senate while sharing copies with the chairs and ranking members of the Senate Committee on Banking, Housing, and Urban Affairs and the House Committee on Financial Services.

“The Bureau is committed to the financial well-being of America’s service members,” Kraninger said. “This commitment includes ensuring that lenders subject to our jurisdiction comply with the Military Lending Act so our service members and their families are provided with the protections of that law.”

Kraninger said the request would complement the work the Bureau currently does to enforce the MLA, adding she was pleased to see legislation recently proposed in the House of Representatives (H.R. 442) is intended to grant the Bureau such authority.

CFPB helps consumer finance markets work by regularly identifying and addressing outdated, unnecessary, or perceived burdensome regulations by making rules more effective, consistently enforcing federal consumer financial law and empowering consumers to take more control over their economic lives.