Supervision and examinations
The CFPB supervises covered financial institutions to assess compliance with federal consumer financial law, identify risks to consumers, and support lawful, consistent market practices.
The CFPB’s supervision work is focused on institutions and activities within its statutory authority, with particular attention to actual consumer harm, including fraud and issues reflected in consumer complaints. Supervision is intended to promote compliance through established legal standards and risk-based oversight, while avoiding unnecessary duplication with other federal and state regulators.
As set forth in the Humility in Supervision Pledge, there is greater transparency regarding the process and clarity regarding expectations. The Bureau’s goal is to work collaboratively with the entities to review entities’ processes for compliance and/or remedy existing problems. The Bureau is doing so by encouraging self-reporting and resolving issues in Supervision, where feasible, instead of via Enforcement.
CFPB priorities for supervision
Under Acting Director Vought, the Bureau identified several priorities for supervision, namely:
- Providing redress to servicemembers, veterans, and other families; Mortgages;
- Fair Credit Reporting Act (FCRA) and Regulation V data furnishing violations;
- Fair Debt Collection Practices Act (FDCPA) and Regulation F violations relating to consumer contracts and debts;
- Fraudulent overcharges and fees;
- Inadequate controls to protect consumer information resulting in actual loss to consumers;
- Actual intentional discrimination with actual identified victims;
- Compliance with disclosure statutes; and
- Actual fraud against consumers, where there are identifiable victims with material and measurable consumer damages.