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Federal Register / Vol. 86, No. 128 / Thursday, July 8, 2021 / Notices
The Bureau intends to exercise its supervisory and enforcement authority consistent with the full scope of its statutory authority under the DoddFrank Act as established by Congress.
3.1.5 CFPB Rescinds Series of Policy Statements On March 31, 2021, the Bureau announced it is rescinding seven policy statements issued last year that provided temporary flexibilities to financial institutions in consumer financial markets, including mortgages, credit reporting, credit cards and prepaid cards.110 The seven rescissions, effective April 1, provide guidance to financial institutions on complying with their legal and regulatory obligations.
With the rescissions, the CFPB provided notice that it intends to exercise the full scope of the supervisory and enforcement authority provided under the Dodd-Frank Act.111

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3.1.6 Bureau Issues Bulletin Regarding Changes to Supervisory Communications On March 31, 2021, the Bureau issued a bulletin to announce changes to how its examiners articulate supervisory expectations to supervised entities in connection with supervisory events.112
The bulletin states that the CFPB will continue to issue Matters Requiring Attention MRAs, explains the circumstances under which it will do so, and announces that the CFPB will discontinue use of Supervisory 110 The rescinded policies include: Statement on Bureau Supervisory and Enforcement Response to COVID19 Pandemic March 26, 2020; Statement on Supervisory and Enforcement Practices Regarding Quarterly Reporting Under the Home Mortgage Disclosure Act March 26, 2020;
Statement on Supervisory and Enforcement Practices Regarding CFPB Information Collections for Credit Card and Prepaid Account Issuers March 26, 2020; Statement on Supervisory and Enforcement Practices Regarding the Fair Credit Reporting Act and Regulation V in Light of the CARES Act April 1, 2020; Statement on Supervisory and Enforcement Practices Regarding Certain Filing Requirements Under the Interstate Land Sales Full Disclosure Act ILSA and Regulation J April 27, 2020; Statement on Supervisory and Enforcement Practices Regarding Regulation Z Billing Error Resolution Timeframes in Light of the COVID19 Pandemic May 13, 2020;
Statement on Supervisory and Enforcement Practices Regarding Electronic Credit Card Disclosures in Light of the COVID19 Pandemic June 3, 2020.
111 The rescission also announces that the Bureau does not intend to continue to provide any flexibilities afforded entities in specific sections of certain interagency statements. More information is available at: https www.consumerfinance.gov/
about-us/newsroom/cfpb-rescinds-series-of-policystatements-to-ensure-industry-complies-withconsumer-protection-laws/.
112 CFPB Bulletin 202101 is available at: https
files.consumerfinance.gov/f/documents/cfpb_
bulletin_2021-01_changes-to-types-of-supervisorycommunications_2021-03.pdf.

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Recommendations. This new bulletin rescinds and replaces CFPB Bulletin 201801 September 25, 2018.
3.1.7 CFPB Compliance Bulletin Warns Mortgage Servicers: Unprepared Is Unacceptable On April 1, 2021, the Bureau warned mortgage servicers to take all necessary steps to prevent a wave of avoidable foreclosures this fall.113 Millions of homeowners currently in forbearance will need help from their servicers when the pandemic-related Federal emergency mortgage protections expire this summer and fall. Servicers should dedicate sufficient resources and staff to ensure they are prepared for a surge in borrowers needing help. The CFPB will closely monitor how servicers engage with borrowers, respond to borrower requests, and process applications for loss mitigation. The CFPB will consider a servicers overall effectiveness in helping consumers when using its discretion to address compliance issues that arise.
3.1.8 Bureau Issues Interim Final Rule on FDCPA
On April 19, 2021, the Bureau issued an interim final rule in support of the Centers for Disease Control and Prevention CDCs eviction moratorium.114 The CFPBs rule requires debt collectors to provide written notice to tenants of their rights under the eviction moratorium and prohibits debt collectors from misrepresenting tenants eligibility for protection from eviction under the moratorium. The CDC established the eviction moratorium to protect the public health and reduce the spread of the Coronavirus. Debt collectors who evict tenants who may have rights under the moratorium without providing notice of the moratorium, or who misrepresent tenants rights under the moratorium, can be prosecuted by Federal agencies and State attorneys general for violations of the FDCPA and are also subject to private lawsuits by tenants.
113 The Compliance Bulletin is available at:
https files.consumerfinance.gov/f/documents/
cfpb_bulletin-2021-02_supervision-andenforcement-priorities-regarding-housing_
WHcae8E.pdf.
114 The interim final rule is available at: https
files.consumerfinance.gov/f/documents/cfpb_debt_
collection-practices-global-covid-19-pandemic_
interim-final-rule_2021-04.pdf. Information about the CDCs eviction moratorium is available at:
https www.cdc.gov/coronavirus/2019-ncov/more/
pdf/CDC-Eviction-Moratorium-03292021.pdf.

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4. Remedial Actions 4.1

Public Enforcement Actions
The Bureaus supervisory activities resulted in and supported the following public enforcement actions.
4.1.1

TD Bank, N.A.

On August 20, 2020, the Bureau announced a settlement with TD Bank, N.A. TD Bank regarding its marketing and sale of its optional overdraft service:
Debit Card Advance DCA.115
TD Bank is headquartered in Cherry Hill, New Jersey, and operates about 1,250 locations throughout much of the eastern part of the country. The Bureau found that TD Banks overdraft enrollment practices violated EFTA and Regulation E by charging consumers overdraft fees for ATM and one-time debit card transactions without obtaining their affirmative consent, and that TD Bank engaged in deceptive and abusive acts or practices in violation of the CFPA.
The Bureau specifically found that TD
Bank charged consumers overdraft fees for ATM and one-time debit card transactions without obtaining their affirmative consent in violation of EFTA
and Regulation E, both after new customers opened checking accounts at TD Bank branches and after new customers opened checking accounts at events held outside of bank branches.
The Bureau further found that when describing DCA to new customers, TD
Bank deceptively claimed DCA was a free service or benefit or that it was a feature or package that comes with new consumer-checking accounts. In fact, TD Bank charges customers $35 for each overdraft transaction paid through DCA and DCA
is an optional service that does not come with a consumer-checking account. When TD Bank enrolled some consumers in DCA over the phone, TD
Bank deceptively described DCA as covering transactions unlikely to be covered by DCA. In some instances, TD
Bank engaged in abusive acts or practices by materially interfering with consumers ability to understand DCAs terms and conditions. In some cases, TD
Bank required new customers to sign its overdraft notice with the enrolled option pre-checked, without mentioning the DCA service to the consumer at all;
enrolled new customers in DCA without requesting the customers oral enrollment decision; and deliberately obscured, or attempted to obscure, the overdraft notice to prevent a new 115 The consent order can be found at: https
files.consumerfinance.gov/f/documents/cfpb_tdbank-na_consent-order_2020-08.pdf.

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