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Former CFPB enforcement directors launch public interest law firm

Former CFPB enforcement heads launch a new firm, signaling a more litigious and scrutinized environment for merchant financing.

Three heavy hitters from the Consumer Financial Protection Bureau (CFPB) are launching a new law firm focused on public interest and consumer advocacy. This is a move that signals a continued shift toward aggressive oversight of the consumer finance industry. For retailers and operators, this means the regulatory environment is getting more complex, not less. These former directors understand exactly where the government looks for compliance failures in lending, Buy Now, Pay Later (BNPL), and lease-to-own programs. While the firm is positioned as a public interest entity, its formation highlights that the 'revolving door' between government agencies and the private sector is turning toward consumer protection enforcement. If your business relies on third-party financing or internal credit products, expect higher standards for transparency and fee structures. The launch of this firm suggests that even if federal agency leadership changes, there is a growing ecosystem of legal experts dedicated to holding lenders and merchants accountable for how they treat customers. Now is the time to review your financing disclosures and ensure your point-of-sale staff are clearly explaining credit terms to every customer.

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