The Consumer Financial Protection Bureau today issued a policy statement outlining how institutions may apply for early termination of a consent order and how the CFPB will evaluate early termination applications. The statement takes effect Oct. 8.
In the statement, the bureau said that entities seeking early termination must demonstrate full compliance with the consent order. “If it has not already done so, the bureau intends to expeditiously review the entity’s compliance with the Consent Order and conduct follow-up work as needed to determine the entity’s compliance,” the statement said. “The bureau generally intends to complete this compliance review within six months of receiving an application that the bureau determines is complete.”
In addition, entities must meet certain threshold eligibility criteria and have a satisfactory compliance management system in applicable areas, the CFPB said. Applications for early termination should be submitted to the CFPB point of contact specified in the consent order, and discretion over granting or denying termination applications will remain with the CFPB director.