CFPB Turns Its Spotlight on Marketplace Lenders
On March 7, the CFPB announced that it is accepting consumer complaints about online marketplace lenders, giving consumers “a greater voice in these markets and a place to turn to when they encounter problems.” The CFPB also issued a bulletin to provide consumers with information on marketplace lending, including guidance on shopping for a loan. Significantly, the CFPB noted in its bulletin that while marketplace lending is relatively new, it is subject to the same state and federal laws as other lenders.
Although consumers have been able to file complaints with the CFPB on marketplace lenders since July 2011 when the agency first began accepting consumer complaints, we anticipate that these recent actions by the CFPB may lead to an increase in complaints against marketplace lenders. As a result, we encourage marketplace lenders to review their complaint‑handling policies and procedures and ensure that they are compliant with the CFPB requirements.