ALBUQUERQUE, N.M. (AP) - A federal agency tasked with protecting consumers from predatory lenders is set to unveil details on proposed rule changes to allow consumers to file class action lawsuits.
The Consumer Financial Protection Bureau is scheduled Thursday to release details about proposed rules that would ban lenders from using “free pass” arbitration clauses to block consumers from filing lawsuits as a group.
The bureau is meeting in Albuquerque and will take public comment before deciding on final rule changes at a later date.
Buried in many contracts for consumer financial products like credit cards and bank accounts, most arbitration clauses deny consumers the right to participate in group lawsuits against companies.
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