A chart for determining whether a nonbank entity is required to register an order under a rule from the federal consumer financial protection agency was published Thursday by the agency.
The chart summarizes how the entity may determine if it must register under the Nonbank Registration Orders Rule, the Consumer Financial Protection Bureau (CFPB) said.
In June, the CFPB created a registry for nonbanks subject to orders under consumer financial protection laws. Those nonbank firms are required to register and submit information about the orders.
The bureau said in June that the registry will help it to detect and deter corporate offenders that have broken consumer laws and are subject to federal, state, or local government or court orders. The registry will also help the bureau identify repeat offenders and recidivism trends, it said.
The bureau said then it expects to make certain information about registered covered nonbanks and covered orders publicly available online.
The rule creating the requirement for the registry took effect Sept. 16. Under the final rule:
- Covered nonbanks are required report certain final agency and court orders and judgments to the CFPB. These orders include consent and stipulated orders brought under consumer protection laws.
- Nonbank companies supervised by the CFPB that are subject to an order are required to provide a written attestation from an executive that confirms compliance with any relevant orders.