Guess Who CFPB Is “Protecting” with New Amicus Brief?

The Consumer Financial Protection Bureau filed an amicus brief in Colorado court to defend a consumer’s right to cancel their loans. And it likely won’t be the last time they do so.

“Briefs to Be a Regular Part of CFPB’s Work,” the agency noted in a news release issued late last month announcing the brief. The brief hopes to strengthen the rights of consumers offered by the Truth in Lending Act (TILA), which the CFPB says it has the “authority to implement and interpret.”

Already, TILA gives consumers the option to cancel a loan within three years should their lender fail to provide certain disclosure information. Now, the CFPB argues that consumers should also be given the opportunity to file suit against the lender beyond that three-year period.

“We are committed to making sure that borrowers can exercise their rights to the full extent allowed under this law,” said CFPB Director Richard Cordray in a statement from the agency. “The consumer’s right to cancel gives lenders a powerful incentive to provide the disclosures that consumers need to make good financial choices.”

The brief, filed in March 26 in the case of Rosenfield v. HSBC Bank, USA, is available online.