Also written as:
CFPB
The Consumer Financial Protection Bureau. Federal agency created after the 2008 housing crisis to protect consumers in financial transactions — including mortgages.
The CFPB — Consumer Financial Protection Bureau — was created in 2010 in response to the 2008 financial crisis to protect American consumers in financial transactions. It writes the rules for mortgages, credit cards, student loans, and most consumer banking products, and enforces violations.
For mortgage borrowers, the CFPB is responsible for the rules requiring the Loan Estimate (within 3 days of application) and Closing Disclosure (at least 3 days before closing). They also define the Qualified Mortgage (QM) standards that govern most home loans, and run the borrower-friendly website at consumerfinance.gov with plain-language guides on virtually every mortgage topic.
If you have a complaint about your lender or servicer that you can't resolve directly, the CFPB takes consumer complaints and forwards them to the company for response. It's a powerful free tool that most borrowers don't know exists.
Example
You believe your servicer is wrongly charging late fees after months of trying to resolve it directly. You file a complaint at consumerfinance.gov. The CFPB forwards it to your servicer, who is required to respond. Most complaints get a substantive resolution within 30 days.
Also known as
CFPB, Consumer Financial Protection Bureau
Source:
CFPB