A controversial plan to publish complaints about mortgage lenders made by anonymous consumers has come to fruition.
The Consumer Financial Protection Bureau launched its Complaint Database in June 2012. The handling of such complaints was established through the Dodd-Frank Wall Street Reform and Consumer Protection Act of 2010.
Since opening for business in July 2011, the CFPB said it has handled more than 627,000 complaints as of June 1, “with mortgages and debt collection being the most frequent topics.”
In March, the bureau disclosed its final policy on plans for allowing consumers to volunteer their grievances for public consumption.
Many in the financial services industry, however, objected — with groups including the Consumer Mortgage Coalition, the Mortgage Bankers Association and the National Association of Federal Credit Unions voicing concerns.
But on Thursday, the CFBP said that more than 7,700 complaints about a range of financial products — including mortgages — have been posted.
Users can search the database by specific product names or features, specific company practices and problems, and by state and zip code.
“Consumer narratives provide a firsthand account of the consumer’s experience,” the regulator stated in today’s announcement. “The narratives provide context to complaints, are easily searchable, and help spotlight specific trends. The narratives can also help consumers to make more informed decisions, as well as encourage companies to improve the overall quality of their products and services and more vigorously compete over good customer service.”
