Consumer Watchdog Gives Banks More Ways to Appeal Exam Findings

The Consumer Financial Protection Bureau will allow banks and other companies to seek a second opinion on a broader range of supervisory determinations as part of an overhaul of its appeals process.

The federal consumer finance watchdog on Friday issued a rule saying companies subject to its supervisory authority—including banks, debt collectors, consumer credit reporting companies, and payday lenders—will now be able to seek a review of any examiner determination they think might be too harsh. That expands the existing standard that allows an appeal only for an “adverse” rating.

The CFPB’s examination authority, established in the 2010 Dodd-Frank Act, ...