LSC25 | Regulatory & Market Trends: Key Updates for Lenders
⚖️ Navigating the Regulatory Whirlwind in Lending
How Lenders Can Stay Compliant, Competitive, and Confident in 2025
At the LendSuite Conference 2025, one of the most anticipated sessions was the Regulatory & Market Trends: Key Updates for Lenders Panel, hosted by EPIC’s CEO April Collins and joined by two powerhouse compliance experts: Ed and Andrew. Together, they peeled back the curtain on the shifting regulatory landscape—federal and state—and revealed what lenders need to know to survive and thrive.
This wasn’t just another surface-level conversation. It was a reality check, strategy session, and masterclass rolled into one.
🏛️ Federal Regulation: What’s Changing at the Top
With a new administration in the White House, 2025 is expected to bring significant changes in federal policy. Here are the highlights:
A Softer CFPB? While the Consumer Financial Protection Bureau remains active, leadership changes have slowed its pace. Aggressive enforcement actions are less frequent, but that doesn't mean risk is gone.
The Payment Rule Dilemma: The long-delayed Payment Rule is still looming with no formal pause in place. This puts lenders in a tricky position—prepare for a rule that may never fully land.
“The problem isn’t just what’s happening—it’s what’s not happening. The uncertainty is real.”
— Andrew, Regulatory Panelist
⚠️ Don’t Sleep on the States
While federal oversight may be cooling, state-level regulators are heating up—and fast.
Florida came close to prohibiting debit card repayments entirely in 2024, a move that would have reshaped repayment workflows.
Massachusetts is actively proposing more restrictive licensing and reporting requirements.
California continues to fine-tune its regulations around APR disclosures and evasion tactics.
State Attorneys General are stepping in where the CFPB is stepping back. Many are using the playbook left by prior CFPB leadership to push enforcement at the state level.
🔍 Tribal Lending Under the Microscope
For years, tribal lending models operated with minimal interference from federal or state regulators. That’s quickly changing.
Tribal lenders are increasingly the target of consumer advocacy groups, media investigations, and legal reform campaigns.
The CFPB Tribal Consultation Policy, once considered symbolic, is now being leveraged as a strategic tool to influence federal policy outcomes.
“If you’re a tribal lender and not engaging in the consultation process, now is the time. That policy can be a shield—but only if you use it.”
— Ed, Panelist
🧪 Market-Driven Innovation vs. Regulatory Drag
Interestingly, one of the biggest takeaways was that product innovation is currently outpacing regulation.
New products like non-prime lines of credit (NPLs) are gaining ground
Bank-fintech partnerships are expanding access without raising red flags
Real-time payments and faster funding are now standard expectations from consumers
The question is no longer just “Is it compliant?” but “Is it competitive and sustainable?”
⚔️ Litigation & the Supreme Court’s Role
There’s growing optimism among legal experts that the Supreme Court may reshape the regulatory balance through upcoming cases.
The much-anticipated Chevron Deference case could challenge the CFPB’s power to create rules without Congressional action.
Civil Investigative Demand (CID) reform is gaining bipartisan support, which could curb the CFPB’s ability to demand sweeping data requests with minimal oversight.
A proposed Reputational Risk Bill may protect banks and service providers from being penalized for serving legally-operating lenders.
These changes could help restore stability—but they may take time.
🧭 What Lenders Should Do Now
Here’s the roadmap recommended by the panelists:
Map Your Risk: Know your exposure by state, product type, and license type.
Engage with Legal Experts: Don’t wait until you’re in the hot seat. Proactive engagement is cheaper than reactive litigation.
Invest in Adaptive Tech: Ensure your platforms allow you to toggle features, rates, workflows, and disclosures without a development queue.
Double Down on Return Borrowers: Lower regulatory exposure, lower default risk, and stronger ROI.
Document Everything: Every customer interaction, underwriting decision, and marketing campaign should be compliance-audit ready.
“In 2025, adaptability isn’t a luxury—it’s a lifeline.”
🧰 How LendSuite Is Helping Lenders Stay Ahead
At LendSuite, our platforms are built for exactly this kind of complexity.
Epic Loan Systems enables compliance toggles, form versioning, and automated rate controls.
Infinity Software allows dynamic underwriting changes and multi-state logic in seconds.
Tekambi integrates 40+ data sources to help lenders vet risk in real time and adjust offers on the fly.
We’re also helping lenders:
Manage TCPA compliance and texting consent
Prepare for the Payment Rule with contingency workflows
Stay up to date on state-by-state disclosures and fee structures
🧠 It’s Not About Guessing—It’s About Knowing
The biggest risk in 2025 isn’t non-compliance. It’s inertia. The lenders that succeed will be the ones who anticipate, adapt, and act with clarity.
You don’t have to do it alone. Our team of experts and tools are here to help you navigate every shift—federal, state, tribal, or otherwise—with confidence.
✅ Get Clarity. Get Compliant. Get Ahead.
Book a Discovery Call With LendSuite Software
Whether you're expanding to new states, launching a new product, or just trying to keep up with evolving compliance rules, we can help.
Let’s talk about:
Your current exposure and areas of opportunity
How your platform can help (or hurt) compliance efforts
What smart lenders are doing today to prepare for tomorrow
🔗 Request a Discovery Call Now »
