Agency Information Collection Activities: Proposed eCollection eComments Requested Monitoring Information Collections, 15128-15129 [2016-06224]
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Federal Register / Vol. 81, No. 54 / Monday, March 21, 2016 / Notices
to the lenders, while 5 percent went to
pay actual insurance claims. A similar
pattern holds for the sale of its accident
and health policies sold in junction
with the loan—in one state, Georgia, in
2011, 56 percent went back to the
lenders, and only 14 percent went to
claims.16
A series of enforcement actions by the
Consumer Financial Protection Bureau
provides important examples of how
add-on products can be used to increase
the cost of using a credit card, both at
the time the account is opened and later
in the relationship.17 In July 2012, the
CFPB issued a bulletin describing its
supervisory experience with add-on
products and clarifying the steps that
supervised institutions should take to
ensure that add-on products do not
harm consumers or violate federal
law.18 The bulletin discussed
expectations around the marketing of
add-on products and associated
employee compensation guidelines to
ensure that financial institutions do not
create an incentive to provide
inaccurate information. The bulletin
also highlighted the need to ensure that
consumers are not required to purchase
products as a condition of obtaining
credit.
As noted in reports to investors, both
Springleaf and OneMain sell various
ancillary products, such as credit
insurance and membership products,
which are typically financed into the
principal of the loan upon origination.19
Both companies sell the products
through affiliates; for both companies,
these affiliates are significant parts of
their business. For example, Springleaf
notes that financed insurance premiums
account for 4% of the aggregate
principal loan balance, and for
OneMain, they represented 5.3% of the
aggregate principal balance of OneMain
Financial’s personal loan portfolio as of
December 31, 2013.
In North Carolina, where Springleaf
and OneMain comprise the two largest
lenders, the sale of insurance products
on installment loans made by consumer
finance companies is more than double
the number of loans originated,
indicating that a single loan is often
stacked with multiple insurance
products.20
Further indicative that some lenders
use credit insurance or other add-on
sales to drive up loan costs is the fact
that installment lenders tack on add-on
products in states that have lower
statutory caps on interest, but do not do
so in states that allow for higher interest
rates.21
A survey by the North Carolina Justice
Center puts a point on how add-ons
help drive refinancings. The survey of
50 cases filed by consumer finance
lenders in Wake County, North
Carolina, found that where there was
evidence of refinancing, a majority of
the ‘‘payout’’ went towards paying
credit insurance fees. The average
amount disbursed to borrowers was less
than $1.50.
mstockstill on DSK4VPTVN1PROD with NOTICES
16 Id.
17 See summary of CFPB enforcement actions in
Comments of Center for Responsible Lending,
National Consumer Law Center, Consumer
Federation of America, Consumer Action, and U.S.
PIRG, to U.S Department of Defense, December 31,
2014, https://www.responsiblelending.org/sites/
default/files/nodes/files/research-publication/mla_
comments_12242014.pdf.
18 Marketing of Credit Card Add-on Products.
CFPB Bulletin 2012–06. Washington, DC: Consumer
Financial Protection Bureau, July 18, 2012. https://
files.consumerfinance.gov/f/201207_cfpb_bulletin_
marketing_of_credit_card_addon_products.pdf.
19 Springleaf Financial Services, 2015–B Private
Placement Memorandum, https://
investor.springleaffinancial.com/asset-backedsecurities.cfm ‘‘Springleaf, Springleaf sells credit
insurance products to its personal loan borrowers.
These products are provided by a group of
Springleaf-affiliated insurance companies and
insure the personal loan borrower’s payment
obligations on the related personal loan in the event
of such personal loan borrower’s inability to make
monthly payments due to death, disability or
involuntary unemployment. Payment of the
associated premiums can be made by the Borrower
separately, but except in very rare instances, the
personal loan borrower finances payment of the
premium and it is included in the principal balance
of the applicable personal loan. The financing of
credit insurance products premiums generally
represents approximately 4.00% of the aggregate
principal balance of Springleaf’s personal loan
portfolio.’’
OneMain Financial, OMFIT 2015–3 Private
Placement Memorandum, at 91, https://files.
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‘‘OneMain Financial offers its customers optional
credit insurance products and membership
programs, and the premiums and fees for these
products and programs typically are financed as
part of the principal balance of the applicable
personal loan. See ‘‘Underwriting Process and
Standards—Optional Products: Credit Insurance
and Membership Program’’ in this private
placement memorandum. This represents
approximately 4.9% of the aggregate principal
balance of OneMain Financial’s personal loan
portfolio as of June 30, 2015. . . . OneMain
Financial offers optional insurance products to its
customers through its affiliated insurance
companies American Health and Life Insurance, Co.
(‘‘AHL’’), and Triton Insurance Company (‘‘Triton’’
and together with AHL, ‘‘Citi Assurance Services’’
or ‘‘CAS’’), as described below under ‘‘Underwriting
Process and Standards—Optional Products: Credit
Insurance and Membership Program’’ in this
private placement memorandum. AHL and Triton
are wholly-owned subsidiaries of CCC.
20 The North Carolina Commissioner of Banks’s
2014 Consumer Finance Annual Report showed
more than 1.2 million credit insurance products
were sold on only 495,682 loans. https://www.nccob.
org/Public/docs/Financial%20Institutions/
Consumer%20Finance/2014_Annual_Report.pdf
21 Kiel, Paul, ‘‘The 182 Percent Loan: How
Installment Lenders Put Borrowers in a World of
Hurt,’’ ProPublica, May 13, 2014. https://www.
propublica.org/article/installment-loans-worldfinance.
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Lenders Tend To Charge the Maximum
Rate Permitted Under State Law
In its 2012 annual report to investors,
a national consumer installment lender
noted ‘‘that virtually all participants in
the small-loan consumer finance
industry charge at or close to the
maximum rates permitted under
applicable state laws in those states
with interest rate limitations.’’ 22
Similarly, in an in-depth examination of
the consumer installment lending
industry, the NC Commission on Banks
determined that ‘‘licensees were
charging the maximum blended rate
allowable.’’ 23 There is no competition
on price in this market—rather, any
competition is centered around store
location and branding. For consumers,
the presence of more or different lenders
in a community will have no
meaningful impact on the cost of
installment loans.
We urge the Department to consider
this information carefully, and to clarify
its statement that these loans are helpful
to communities in need. As this
information shows, too often these loans
lead to financial harm, not help.
[FR Doc. 2016–06238 Filed 3–18–16; 8:45 am]
BILLING CODE P
DEPARTMENT OF JUSTICE
[OMB Number 1103–0100]
Agency Information Collection
Activities: Proposed eCollection
eComments Requested Monitoring
Information Collections
Community Orient Policing
Services, Department of Justice.
ACTION: 30-Day notice.
AGENCY:
The Department of Justice
(DOJ) Office of Community Oriented
Policing Services (COPS) will be
submitting the following information
collection request to the Office of
Management and Budget (OMB) for
review and approval in accordance with
the Paperwork Reduction Act of 1995.
The proposed information collection
was previously published in the Federal
Register at 81 FR 1443, on January 12,
2016, to obtain comments from the
public and affected agencies.
DATES: The purpose of this notice is to
allow for an additional 30 days until
April 20, 2016.
FOR FURTHER INFORMATION CONTACT: If
you have comments especially on the
SUMMARY:
22 World Acceptance Corporation, SEC Filing 10–
K, March 31, 2012.
23 N.C. Commissioner of Banks, ‘‘The Consumer
Finance Act: Report and Recommendations to the
2011 General Assembly.’’ February 2011.
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Federal Register / Vol. 81, No. 54 / Monday, March 21, 2016 / Notices
estimated public burden or associated
response time, suggestions, or need a
copy of the proposed information
collection instrument with instructions
or additional information, please
contact Lashon M. Hilliard, Department
of Justice Office of Community Oriented
Policing Services, 145 N Street NE.,
Washington, DC 20530. Written
comments and/or suggestions can also
be directed to the Office of Management
and Budget, Office of Information and
Regulatory Affairs, Attention
Department of Justice Desk Officer,
Washington, DC 20530 or sent to OIRA_
submissions@omb.eop.gov.
SUPPLEMENTARY INFORMATION: Written
comments and suggestions from the
public and affected agencies concerning
the proposed collection of information
are encouraged. Your comments should
address one or more of the following
four points:
—Evaluate whether the proposed
collection of information is necessary
for the proper performance of the
functions of the agency, including
whether the information will have
practical utility;
—Evaluate the accuracy of the agency’s
estimate of the burden of the
proposed collection of information,
including the validity of the
methodology and assumptions used;
—Enhance the quality, utility, and
clarity of the information to be
collected; and
—Minimize the burden of the collection
of information on those who are to
respond, including through the use of
appropriate automated, electronic,
mechanical, or other technological
collection techniques or other forms
of information technology, e.g.,
permitting electronic submission of
responses.
mstockstill on DSK4VPTVN1PROD with NOTICES
Overview of This Information
Collection
(1) Type of Information Collection:
Extension of a currently approved
collection.
(2) Title of the Form/Collection:
Monitoring Information Collections.
(3) Agency form number: 1103–0100
U.S. Department of Justice Office of
Community Oriented Policing Services.
(4) Affected public who will be asked
or required to respond, as well as a brief
abstract:
Primary: COPS Office hiring grantees
that are selected for in-depth monitoring
of their grant implementation and
equipment grantees that report using
COPS funds to implement a criminal
intelligence system will be required to
respond. The Monitoring Information
Collections include two types of
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Jkt 238001
information collections: the Monitoring
Request for Documentation and the 28
CFR part 23 Monitoring Kit.
(5) An estimate of the total number of
respondents and the amount of time
estimated for an average respondent to
respond/reply: It is estimated that 150
respondents annually will complete the
Monitoring Request for Documentation
at 3 hours per respondent.
(6) An estimate of the total public
burden (in hours) associated with the
collection: There are an estimated 450
total annual burden hours associated
with this collection.
If additional information is required
contact: Jerri Murray, Department
Clearance Officer, United States
Department of Justice, Justice
Management Division, Policy and
Planning Staff, Two Constitution
Square, 145 N Street NE., Room
3E.405B, Washington, DC 20530.
Dated: March 15, 2016.
Jerri Murray,
Department Clearance Officer for PRA, U.S.
Department of Justice.
[FR Doc. 2016–06224 Filed 3–18–16; 8:45 am]
BILLING CODE 4410–AT–P
DEPARTMENT OF JUSTICE
[OMB Number 1103–0098]
Agency Information Collection
Activities; Proposed eCollection
eComments Requested; COPS
Application Package
Community Oriented Policing
Services, Department of Justice.
ACTION: 30-Day notice.
AGENCY:
The Department of Justice
(DOJ) Office of Community Oriented
Policing Services (COPS) will be
submitting the following information
collection request to the Office of
Management and Budget (OMB) for
review and approval in accordance with
the Paperwork Reduction Act of 1995.
The proposed information collection
was previously published in the Federal
Register at 81 FR 1644, on January 13,
2016, to obtain comments from the
public and affected agencies.
DATES: The purpose of this notice is to
allow for an additional 30 days for
public comment April 20, 2016.
FOR FURTHER INFORMATION CONTACT: If
you have comments especially on the
estimated public burden or associated
response time, suggestions, or need a
copy of the proposed information
collection instrument with instructions
or additional information, please
contact Lashon M. Hilliard, Department
of Justice Office of Community Oriented
SUMMARY:
PO 00000
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Fmt 4703
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15129
Policing Services, 145 N Street NE.,
Washington, DC 20530. Written
comments and/or suggestions can also
be directed to the Office of Management
and Budget, Office of Information and
Regulatory Affairs, Attention
Department of Justice Desk Officer,
Washington, DC 20530 or sent to OIRA_
submissions@omb.eop.gov.
SUPPLEMENTARY INFORMATION: Written
comments and suggestions from the
public and affected agencies concerning
the proposed collection of information
are encouraged. Your comments should
address one or more of the following
four points:
—Evaluate whether the proposed
collection of information is necessary
for the proper performance of the
functions of the agency, including
whether the information will have
practical utility;
—Evaluate the accuracy of the agency’s
estimate of the burden of the
proposed collection of information,
including the validity of the
methodology and assumptions used;
—Enhance the quality, utility, and
clarity of the information to be
collected; and
—Minimize the burden of the collection
of information on those who are to
respond, including through the use of
appropriate automated, electronic,
mechanical, or other technological
collection techniques or other forms
of information technology, e.g.,
permitting electronic submission of
responses.
Overview of This Information
Collection
(1) Type of Information Collection:
Revision of a currently approved
collection.
(2) Title of the Form/Collection: COPS
Application Package.
(3) Agency form number: 1103–0098
U.S. Department of Justice Office of
Community Oriented Policing Services.
(4) Affected public who will be asked
or required to respond, as well as a brief
abstract:
Primary: COPS Office grantees.
(5) An estimate of the total number of
respondents and the amount of time
estimated for an average respondent to
respond/reply: The estimated total
number of respondents is 5,000. The
estimated hourly burden to the
applicant is 11 hours for each
respondent to review the instructions
and complete the application.
(6) An estimate of the total public
burden (in hours) associated with the
collection: There are an estimated
55,000 total annual burden hours
associated with this collection.
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]]>Agencies
[Federal Register Volume 81, Number 54 (Monday, March 21, 2016)]
[Notices]
[Pages 15128-15129]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2016-06224]
-----------------------------------------------------------------------
DEPARTMENT OF JUSTICE
[OMB Number 1103-0100]
Agency Information Collection Activities: Proposed eCollection
eComments Requested Monitoring Information Collections
AGENCY: Community Orient Policing Services, Department of Justice.
ACTION: 30-Day notice.
-----------------------------------------------------------------------
SUMMARY: The Department of Justice (DOJ) Office of Community Oriented
Policing Services (COPS) will be submitting the following information
collection request to the Office of Management and Budget (OMB) for
review and approval in accordance with the Paperwork Reduction Act of
1995. The proposed information collection was previously published in
the Federal Register at 81 FR 1443, on January 12, 2016, to obtain
comments from the public and affected agencies.
DATES: The purpose of this notice is to allow for an additional 30
days until April 20, 2016.
FOR FURTHER INFORMATION CONTACT: If you have comments especially on the
[[Page 15129]]
estimated public burden or associated response time, suggestions, or
need a copy of the proposed information collection instrument with
instructions or additional information, please contact Lashon M.
Hilliard, Department of Justice Office of Community Oriented Policing
Services, 145 N Street NE., Washington, DC 20530. Written comments and/
or suggestions can also be directed to the Office of Management and
Budget, Office of Information and Regulatory Affairs, Attention
Department of Justice Desk Officer, Washington, DC 20530 or sent to
OIRA_submissions@omb.eop.gov.
SUPPLEMENTARY INFORMATION: Written comments and suggestions from the
public and affected agencies concerning the proposed collection of
information are encouraged. Your comments should address one or more of
the following four points:
--Evaluate whether the proposed collection of information is necessary
for the proper performance of the functions of the agency, including
whether the information will have practical utility;
--Evaluate the accuracy of the agency's estimate of the burden of the
proposed collection of information, including the validity of the
methodology and assumptions used;
--Enhance the quality, utility, and clarity of the information to be
collected; and
--Minimize the burden of the collection of information on those who are
to respond, including through the use of appropriate automated,
electronic, mechanical, or other technological collection techniques or
other forms of information technology, e.g., permitting electronic
submission of responses.
Overview of This Information Collection
(1) Type of Information Collection: Extension of a currently
approved collection.
(2) Title of the Form/Collection: Monitoring Information
Collections.
(3) Agency form number: 1103-0100 U.S. Department of Justice Office
of Community Oriented Policing Services.
(4) Affected public who will be asked or required to respond, as
well as a brief abstract:
Primary: COPS Office hiring grantees that are selected for in-depth
monitoring of their grant implementation and equipment grantees that
report using COPS funds to implement a criminal intelligence system
will be required to respond. The Monitoring Information Collections
include two types of information collections: the Monitoring Request
for Documentation and the 28 CFR part 23 Monitoring Kit.
(5) An estimate of the total number of respondents and the amount
of time estimated for an average respondent to respond/reply: It is
estimated that 150 respondents annually will complete the Monitoring
Request for Documentation at 3 hours per respondent.
(6) An estimate of the total public burden (in hours) associated
with the collection: There are an estimated 450 total annual burden
hours associated with this collection.
If additional information is required contact: Jerri Murray,
Department Clearance Officer, United States Department of Justice,
Justice Management Division, Policy and Planning Staff, Two
Constitution Square, 145 N Street NE., Room 3E.405B, Washington, DC
20530.
Dated: March 15, 2016.
Jerri Murray,
Department Clearance Officer for PRA, U.S. Department of Justice.
[FR Doc. 2016-06224 Filed 3-18-16; 8:45 am]
BILLING CODE 4410-AT-P
