August 14, 2024
10am-11:30am


Member Fee (Live or Recording):  $165 per connection 
Non-Member Fee (Live or Recording):  $265 per connection


Section 5 of the FTC (Federal Trade Commission) provides that a business practice cannot be unfair or deceptive. The Dodd-Frank Act added the concept of “abusive” acts or practices, providing the Consumer Financial Protection Bureau (CFPB) with rule-making and enforcement authority to prevent unfair, deceptive, or abusive acts or practices (UDAAPs) in connection with any consumer financial product or service. Over time, the CFPB has expanded the focus on UDAAP and issued a June 4, 2024 Circular regarding “unlawful and unenforceable contract terms and conditions”.  Additionally, the CFPB issued a Supervisory Highlights for Mortgage Servicing in April, 2024. The FDIC published a Supervisory Highlights report in March, 2024 that outlined exam findings for the prior year and focused on UDAAP violations for multiple NSF fees and re-presentment practices. The report also included a detailed summary of consumer complaints that related to UDAAP violations and $7,045,115 in voluntary restitution and compensation in 2023. UDAAP compliance begins with advertising, continues with loan and account opening procedures, and requires a rigorous review of consumer complaints. 

The CFPB has issued multi-million-dollar enforcement actions for UDAAP violations, but even banks supervised by the FDIC, OCC, and Federal Reserve must pay attention to the “new normal” of consumer protection. The FDIC has an entire section in their Compliance Exam manual called “Evaluating Consumer Harm.”  Regulators are focused on UDAAP issues with “junk fees” and NSF practices. Attend this webinar and learn TEN essential tips for managing UDAAP risks at your bank.

Topics include: 

• Ten Tips for managing UDAAP
  • Marketing Claims
  • Disclosure of Risks
  • Fees
  • Contract Terms
  • Vulnerable Consumers
  • Discriminatory Practices
  • Reviews and Endorsements
  • Consumer Accounts and consent
  • Third Party issues
  • Consumer Complaints
• Understanding UDAAP “traps”; What is likely to be considered deceptive, unfair, or abusive? How can you evaluate UDAAP advertising risks?
• Advertising rules under Reg. Z for mortgage loans and open-end plans from the Credit CARD Act; rules for consumer loan products in Regulation Z
• Consumer deposit products in Truth in Savings and Reg E practices
• Handling UDAAP complaints

This webinar would be beneficial for those involved in the product development and marketing, including the marketing department, compliance officers, auditors, managers, sales and service staff, call center employees, and anyone who is involved in product sales.

Susan Costonis is a compliance consultant and trainer and began a career in banking in 1987. She specializes in compliance management along with deposit and lending regulatory training. Susan has successfully managed compliance programs and exams for institutions that ranged from a community bank to large multi-state bank holding companies. She has been a compliance officer for institutions supervised by the OCC, FDIC, and Federal Reserve. Susan has been a Certified Regulatory Compliance Manager since 1998, completed the ABA Graduate Compliance School, and graduated from the University of Akron and the Graduate Banking School of the University of Colorado.  She regularly presents to financial institution audiences in several states and “translates” complex regulations into simple concepts by using humor and real life examples.