Consumer Financial Protection Circular 2022-01: System of Consumer Financial Protection Circulars to Agencies Enforcing Federal Consumer Financial Law

Publisher lists this guidance as withdrawn/rescinded: Consumer Financial Protection Circular 2022-01: System of Consumer Financial Protection Circulars to Agencies Enforcing Federal Consumer Financial Law, 87 FR 35868 (June 14, 2022); withdrawn on May 12, 2025 .

35868 Federal Register/ Vol. 87, No. 114 / Tuesday, June 14, 2022 / Rules and Regulations
1
12 U.S.C. 5536(a)(1)(B).
2
12 U.S.C. 5481(12).
3
12 U.S.C. 5552.
4
See, e.g., 12 U.S.C. 5516(d), 5581(c)(2).
5
12 U.S.C. 5511(b)(4).
billion or less in assets). Some Federal
consumer financial laws are also
enforceable by other Federal agencies,
including the Department of Justice and
the Federal Trade Commission, the
Farm Credit Administration, the
Department of Transportation, and the
Department of Agriculture. In addition,
some of these laws provide for private
enforcement.
Consumer Financial Protection
Circulars are intended to promote
consistency in approach across the
various enforcement agencies and
parties, pursuant to the CFPB’s statutory
objective to ensure Federal consumer
financial law is enforced consistently.
12 U.S.C. 5511(b)(4).
Consumer Financial Protection
Circulars are also intended to provide
transparency to partner agencies
regarding the CFPB’s intended approach
when cooperating in enforcement
actions. See, e.g., 12 U.S.C. 5552(b)
(consultation with CFPB by State
attorneys general and regulators); 12
U.S.C. 5562(a) (joint investigatory work
between CFPB and other agencies).
Consumer Financial Protection
Circulars are general statements of
policy under the Administrative
Procedure Act. 5 U.S.C. 553(b). They
provide background information about
applicable law, articulate considerations
relevant to the Bureau’s exercise of its
authorities, and, in the interest of
maintaining consistency, advise other
parties with authority to enforce Federal
consumer financial law. They do not
restrict the Bureau’s exercise of its
authorities, impose any legal
requirements on external parties, or
create or confer any rights on external
parties that could be enforceable in any
administrative or civil proceeding. The
CFPB Director is instructing CFPB staff
as described herein, and the CFPB will
then make final decisions on individual
matters based on an assessment of the
factual record, applicable law, and
factors relevant to prosecutorial
discretion.
Rohit Chopra,
Director, Consumer Financial Protection
Bureau.
[FR Doc. 2022–12728 Filed 6–13–22; 8:45 am]
BILLING CODE 4810–AM–P
BUREAU OF CONSUMER FINANCIAL
PROTECTION
12 CFR Chapter X
Consumer Financial Protection
Circular 2022–01: System of Consumer
Financial Protection Circulars to
Agencies Enforcing Federal Consumer
Financial Law
AGENCY: Bureau of Consumer Financial
Protection.
ACTION: Consumer financial protection
circular.
SUMMARY: The Consumer Financial
Protection Bureau (Bureau or CFPB) has
issued Consumer Financial Protection
Circular 2022–01, titled, ‘‘System of
Consumer Financial Protection
Circulars to Agencies Enforcing Federal
Consumer Financial Law.’’ In this
circular, the Bureau outlines its efforts
to promote consistency among enforcers
and fair competition in the market by
launching a new system to provide
guidance to other agencies with
consumer financial protection
responsibilities on how the CFPB
intends to enforce Federal consumer
financial law.
DATES: The Bureau released this circular
on its website on May 16, 2022.
ADDRESSES: Enforcers, and the broader
public, can provide feedback and
comments to Circulars@cfpb.gov.
FOR FURTHER INFORMATION CONTACT:
Brian Shearer, Senior Advisor, Office of
the Director; Brad Lipton, Senior
Counsel, Legal Division, at (202) 435–
7700. If you require this document in an
alternative electronic format, please
contact CFPB_Accessibility@cfpb.gov.
SUPPLEMENTARY INFORMATION: The CFPB
will issue Consumer Financial
Protection Circulars to the broad set of
government agencies responsible for
enforcing Federal consumer financial
law.
The CFPB is the principal Federal
regulator responsible for administering
the Federal consumer financial laws, see
12 U.S.C. 5511, including the Consumer
Financial Protection Act’s prohibition
on unfair, deceptive, and abusive acts or
practices,
1
and eighteen other
‘‘enumerated consumer laws.’’
2

However, the CFPB is not the only
enforcer of these laws; enforcement
responsibility is spread among a large
set of State and Federal government
agencies. This includes, most notably,
State attorneys general and State
regulators
3
and prudential regulators
such as the Federal Deposit Insurance
Corporation, the Office of the
Comptroller of the Currency, the Board
of Governors of the Federal Reserve
System, and the National Credit Union
Administration.
4
Some Federal
consumer financial laws are also
enforceable by other Federal agencies,
including the Department of Justice, the
Federal Trade Commission, the Farm
Credit Administration, the Department
of Transportation, and the Department
of Agriculture. In addition, some of
these laws provide for private
enforcement.
Given the broad variety of agencies
responsible for enforcing Federal
consumer financial law, there is a risk
that companies might encounter
inconsistent enforcement strategies and
approaches. One of the CFPB’s five
statutory objectives is to ensure Federal
consumer financial law is enforced
consistently regardless of the status of a
person as a chartered bank or nonbank.
5

Many entities are subject to the
jurisdiction of multiple agencies, and to
maintain certainty of expectations for
those companies with multiple
regulators, it is important for State and
Federal government agencies to
consistently enforce the laws that the
CFPB administers. Consistency is also
imperative to creating a level playing
field between companies that compete
in the same market but are subject to the
jurisdiction of different enforcers and
Consumer Financial Protection
Circulars will provide transparency to
partner agencies regarding the CFPB’s
intended approach when cooperating in
enforcement actions.
As described more fully below,
Consumer Financial Protection
Circulars will be policy statements
under the Administrative Procedure Act
and will be released publicly to increase
transparency for the benefit of the
public and regulated entities. Consumer
Financial Protection Circulars will
provide background information about
applicable law, articulate considerations
relevant to the CFPB’s exercise of its
authorities and advise other parties with
authority to enforce Federal consumer
financial law. The Director of the CFPB
will authorize issuance of each
Consumer Financial Protection Circular,
and the CFPB will publish them on its
website and in the Federal Register.
The CFPB is beginning to identify a
number of issues that would benefit
from clear and consistent enforcement,
and the CFPB intends to issue new
Consumer Financial Protection
Circulars to advance these goals. The
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35869 Federal Register/ Vol. 87, No. 114 / Tuesday, June 14, 2022 / Rules and Regulations
1
On December 21, 2021, the U.S. Office of
Management and Budget (OMB) published its
‘‘Notice of NAICS 2022 Final Decisions . . .’’ (86
FR 72277), accepting the Economic Classification
Policy Committee (ECPC) recommendations, as
outlined in the July 2, 2021, Federal Register notice
(86 FR 35350), for the 2022 revisions to the North
American Industry Classification System (NAICS),
. . . .’’ In the near future, SBA will issue a
proposed rule to adopt the OMB’s NAICS 2022
revisions for its table of size standards. SBA
anticipates updating its size standards with the
NAICS 2022 revisions, effective October 1, 2022.
CFPB strongly encourages enforcers of
Federal consumer financial law to
contact the CFPB with suggestions for
new Consumer Financial Protection
Circulars. The CFPB is also interested in
receiving feedback on any Consumer
Financial Protection Circulars it issues.
Enforcers, and the broader public, can
also provide feedback and comments to
Circulars@cfpb.gov.
About Consumer Financial Protection
Circulars
Consumer Financial Protection
Circulars are issued to all parties with
authority to enforce Federal consumer
financial law. The CFPB is the principal
Federal regulator responsible for
administering Federal consumer
financial law, see 12 U.S.C. 5511,
including the Consumer Financial
Protection Act’s prohibition on unfair,
deceptive, and abusive acts or practices,
12 U.S.C. 5536(a)(1)(B), and 18 other
‘‘enumerated consumer laws,’’ 12 U.S.C.
5481(12). However, these laws are also
enforced by State attorneys general and
State regulators, 12 U.S.C. 5552, and
prudential regulators including the
Federal Deposit Insurance Corporation,
the Office of the Comptroller of the
Currency, the Board of Governors of the
Federal Reserve System, and the
National Credit Union Administration.
See, e.g., 12 U.S.C. 5516(d), 5581(c)(2)
(exclusive enforcement authority for
banks and credit unions with $10
billion or less in assets). Some Federal
consumer financial laws are also
enforceable by other Federal agencies,
including the Department of Justice and
the Federal Trade Commission, the
Farm Credit Administration, the
Department of Transportation, and the
Department of Agriculture. In addition,
some of these laws provide for private
enforcement.
Consumer Financial Protection
Circulars are intended to promote
consistency in approach across the
various enforcement agencies and
parties, pursuant to the CFPB’s statutory
objective to ensure Federal consumer
financial law is enforced consistently.
12 U.S.C. 5511(b)(4).
Consumer Financial Protection
Circulars are also intended to provide
transparency to partner agencies
regarding the CFPB’s intended approach
when cooperating in enforcement
actions. See, e.g., 12 U.S.C. 5552(b)
(consultation with CFPB by State
attorneys general and regulators); 12
U.S.C. 5562(a) (joint investigatory work
between CFPB and other agencies).
Consumer Financial Protection
Circulars are general statements of
policy under the Administrative
Procedure Act. 5 U.S.C. 553(b). They
provide background information about
applicable law, articulate considerations
relevant to the Bureau’s exercise of its
authorities, and, in the interest of
maintaining consistency, advise other
parties with authority to enforce Federal
consumer financial law. They do not
restrict the Bureau’s exercise of its
authorities, impose any legal
requirements on external parties, or
create or confer any rights on external
parties that could be enforceable in any
administrative or civil proceeding. The
CFPB Director is instructing CFPB staff
as described herein, and the CFPB will
then make final decisions on individual
matters based on an assessment of the
factual record, applicable law, and
factors relevant to prosecutorial
discretion.
Rohit Chopra,
Director, Consumer Financial Protection
Bureau.
[FR Doc. 2022–12727 Filed 6–13–22; 8:45 am]
BILLING CODE 4810–AM–P
SMALL BUSINESS ADMINISTRATION
13 CFR Part 121
RIN 3245–AH10
Small Business Size Standards:
Wholesale Trade and Retail Trade
AGENCY: U.S. Small Business
Administration.
ACTION: Final rule.
SUMMARY: The U.S. Small Business
Administration (SBA) is increasing its
receipts-based and employee-based
small business size definitions
(commonly referred to as ‘‘size
standards’’) for North American
Industry Classification System (NAICS)
sectors related to Wholesale Trade and
Retail Trade. Specifically, SBA is
increasing size standards for 57
industries in those sectors, including 22
industries in NAICS Sector 42
(Wholesale Trade) and 35 industries in
NAICS Sector 44–45 (Retail Trade).
DATES: This rule is effective July 14,
2022.
FOR FURTHER INFORMATION CONTACT:
Samuel Castilla, Economist, Office of
Size Standards, (202) 619–0389 or
sizestandards@sba.gov.
SUPPLEMENTARY INFORMATION:
Discussion of Size Standards
To determine eligibility for Federal
small business assistance, SBA
establishes small business size
definitions (usually referred to as ‘‘size
standards’’) for private sector industries
in the United States. SBA uses two
primary measures of business size for
size standards purposes: average annual
receipts and average number of
employees. SBA uses financial assets for
certain financial industries and refining
capacity, in addition to employees, for
the petroleum refining industry to
measure business size. In addition,
SBA’s Small Business Investment
Company (SBIC), Certified Development
Company (CDC/504), and 7(a) Loan
Programs use either the industry-based
size standards or tangible net worth and
net income-based alternative size
standards to determine eligibility for
those programs.
In September 2010, Congress passed
the Small Business Jobs Act of 2010
(Pub. L. 111–240, 124 Stat. 2504,
September 27, 2010) (‘‘Jobs Act’’),
requiring SBA to review all size
standards every five years and make
necessary adjustments to reflect current
industry and market conditions. In
accordance with the Jobs Act, in early
2016, SBA completed the first five-year
review of all size standards—except
those for agricultural enterprises for
which size standards were previously
set by Congress—and made appropriate
adjustments to size standards for a
number of industries to reflect current
industry and Federal market conditions.
SBA also adjusts its monetary-based size
standards for inflation at least once
every five years. An interim final rule
on SBA’s latest inflation adjustment to
size standards, effective August 19,
2019, was published in the Federal
Register on July 18, 2019 (84 FR 34261).
SBA also updates its size standards
every five years to adopt the Office of
Management and Budget’s (OMB)
quinquennial North American Industry
Classification System (NAICS) revisions
to its table of small business size
standards. Effective October 1, 2017,
SBA adopted the OMB’s 2017 NAICS
revisions to its size standards (82 FR
44886 (September 27, 2017)).
1

This final rule is one of a series of
final rules that will revise size standards
of industries grouped by various NAICS
sectors. Rather than revise all size
standards at one time, SBA is revising
size standards by grouping industries
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