📈CFPB Civil Penalty Adjustments
Civil Penalty Inflation Adjustments
Summary
The Consumer Financial Protection Bureau (CFPB) is adjusting for inflation the maximum amount of each civil penalty within the CFPB's jurisdiction. These adjustments are required by the Federal Civil Penalties Inflation Adjustment Act of 1990 (Inflation Adjustment Act), as amended by the Debt Collection Improvement Act of 1996 and further amended by the Federal Civil Penalties Inflation Adjustment Act Improvements Act of 2015. The inflation adjustments mandated by the Inflation Adjustment Act serve to maintain the deterrent effect of civil penalties and to promote compliance with the law.
Agencies
- Consumer Financial Protection Bureau
Business Impact
$$ - Med
The regulation increases civil penalties under the CFPB's jurisdiction to maintain compliance and deter violations, impacting businesses financially. Owners and executives must prepare for higher potential penalties effective January 15, 2025, thereby increasing the urgency for compliance with relevant laws.