CFPB Issues Final Registration Rule Impacting Finance Companies

On June 3, 2024, the Consumer Financial Protection Bureau (CFPB) issued its final rule regarding the Registry of Nonbank Covered Persons Subject to Certain Agency and Court Orders (rule). This rule applies to nonbank finance companies as well as other nonbank entities and will require companies to register information about their company in the CFPB's new nonbank registry if the company is subject to certain final, written public orders issued by governmental agencies or courts (including consent orders) relating to an investigation, matter or proceeding brought by a federal, state or local agency. The orders must impose obligations on the nonbank entity to take or refrain from taking action based on alleged violations of certain federal and state consumer financial laws. The order must be public, meaning published by the issuing agency or court. Non-public orders or confidential supervisory information of any federal, state or local agency are not included. Copies of