Practices

Financial Services Enforcement

Why Cooley

Cooley’s financial services enforcement practice represents bank and nonbank providers of consumer financial services in federal and state investigations, examinations and litigation matters. Our team has represented clients before every major US federal enforcement agency, including the Consumer Financial Protection Bureau, the Department of Justice, the Federal Trade Commission, the Office of the Comptroller of the Currency, the Federal Reserve, the Federal Deposit Insurance Corporation, the Department of Housing and Urban Development, and state attorneys general and financial institution departments. We also represent financial services providers in congressional inquiries and internal investigations involving their most sensitive, bet-the-company matters. Our industry knowledge allows us to be effective advocates for our clients, and our experience allows us to navigate even the most complex matters strategically, providing practical and thoughtful advice tailored to the issues at hand.

Areas of Practice

Our enforcement attorneys have handled the following types of government investigations and examinations:

CFPB

  • Examination readiness, prelitigation and investigations
  • Mortgage origination advertising and disclosure practices, as well as compliance with the Home Mortgage Disclosure Act (HMDA) and fair lending laws
  • Mortgage servicing practices, including involving loss mitigation and foreclosure activities, fair servicing, and Coronavirus Aid, Relief and Economic Security (CARES) Act compliance
  • Deposit account maintenance and overdraft practices
  • Auto lending and loan servicing, as well as ancillary product offerings
  • Online lending structures, disclosures and fees
  • Military lending and the Military Lending Act
  • Reverse mortgage advertising, origination and account management
  • Credit card marketing and add-on products
  • Payments and money transmission laws
  • Small business lending

Department of Justice

  • False Claims Act investigations and litigation matters involving alleged violations of guidelines and regulations established by the Federal Housing Administration, the Department of Veterans Affairs, the Small Business Administration (including Paycheck Protection Program lending) and the Treasury Department
  • Fair lending investigations, including matters involving allegations of redlining and discriminatory underwriting and pricing practices
  • Investigations involving alleged violations of the Servicemember Civil Relief Act
  • Alleged violations of the Americans with Disabilities Act

Federal Trade Commission

  • Marketing and advertising of financial services products
  • Fee assessment and servicing related to specialty finance products and loan alternatives
  • Payments and fintech products

Prudential Banking Agencies (OCC, FDIC and Federal Reserve)

  • Credit card add-on products and rewards offerings
  • Student loan and student deposit account offerings
  • Mortgage lending and servicing
  • Indirect auto matters, including fair lending inquiries
  • Servicemember Civil Relief Act inquiries

Investor Compliance (HUD, FHA, VA and GSE) and Inspectors General

  • Violations involving the Program Fraud Civil Remedies Act and referrals to the Mortgagee Review Board
  • Fair lending inquiries and individual complaints regarding pricing, underwriting and appraisal practices
  • Compliance with government lending origination and servicing guidelines and mortgagee letters

State Attorneys General and Financial Institution Departments

  • Multistate and coordinated investigations involving lending, fees and pricing practices
  • Mortgage origination and servicing practices, including compliance with fair lending laws and convenience fees
  • Bank partnership models
  • Specialty finance products and loan alternatives
  • Payment service providers

Congressional Investigations

  • Fair banking and consumer protection laws
  • Government-backed lending models
  • CARES Act compliance

Regulatory Counseling

Cooley’s financial services regulatory practice advises clients on complex regulatory issues related to payment systems, money transmission, virtual currency activities, and traditional and nontraditional lending and capital-raising platforms. We advise on and assist clients with obtaining money transmission and lending licenses, and in structuring partnerships and other arrangements to get products and services to market in an efficient and compliant manner. We regularly represent our clients in front of state banking departments and other regulatory authorities with respect to their operations as regulated financial institutions and in connection with new payments services initiatives.

Clients

Our clients include:

  • Large national banks
  • Small and midsize community banks
  • Traditional and specialty lenders and services of all types
  • Online lenders
  • Payment service providers
  • Deposit takers
  • Financial services trade associations