A recent CFPB blog post provides information about what newly supervised institutions can expect from a supervisory relationship with the CFPB. The blog post is primarily intended for those supervised financial institutions that go through a CFPB examination for the first time.
In the post and accompanying document “An Introduction to CFPB’s Exams of Financial Companies,” the CFPB outlines various aspects of its examinations and supervisory activities, including: (i) the statutory background, (ii) the confidential back-and-forth style of communication, (iii) the CFPB’s transparency about the supervision program, (iv) the role of examiners, (v) the availability of the examination manual as a resource, (vi) the CFPB’s use of an examination report or supervisory letter to communicate supervisory findings, and (vii) the distinction between supervision and enforcement.
The CFPB also provides additional resources in the blog post, including an Overview of the CFPB’s “prioritization” approach to allocating supervisory resources, the Supervision and Examination Manual, and examples of an examination report and supervisory letter.
Further information regarding the CFPB’s Supervision program can be found on the Supervision & Examinations webpage.
WBK routinely assists its clients with preparing for and going through CFPB supervisory exams, including responding to CFPB communications and addressing any obligations that may arise from an exam.