Corporate groups sue U.S. consumer watchdog alleging legal overreach

Source: Reuters

Corporate groups sue U.S. consumer watchdog alleging legal overreach

John McCrank
Wed, September 28, 2022 at 1:51 PM

NEW YORK (Reuters) - Trade groups representing the U.S. financial industry sued the Consumer Financial Protection Bureau (CFPB) on Wednesday for what they said was the agency's overstepping of its authority in its efforts to tackle discriminatory banking practices.

The lawsuit marks a major escalation of tensions between the industry and the consumer watchdog, which industry groups say has repeatedly overstepped its mandate under President Joe Biden's director Rohit Chopra.

The CFPB in March amended its examination manual, which its examiners use to oversee financial firms, to include the review of policies that exclude individuals from products or services, or offer products or services in an unfairly discriminatory manner.

The groups said the agency does not have the legal authority to make that change.

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Read more: https://news.yahoo.com/corporate-groups-sue-u-consumer-175118935.html