Skip to main content
HR 1652 119th Congress House Finance and Financial Sector

Rectifying UDAAP Act

Introduced: February 27, 2025 Introduced by: Barr, Andy Republican · Kentucky See on congress.gov
Sign in to write a letter Sign in to watch
 Everywhere this bill has been 2 steps
Introduced
In committee
Reported out
Passed House
Passed Senate
To President
Became law
Feb 27, 2025
Introduced in House
Feb 27, 2025
Referred to the House Committee on Financial Services.
 Ask about this bill AI · grounded in the bill text

Have a question about what this bill does? Ask in plain English; the answer is drawn from the bill's actual text and official record, and it'll tell you when something isn't in the text rather than guess.

AI answers can be imperfect; always confirm against the full bill text.

 Plain-English summary Congressional Research Service

Rectifying Undefined Descriptions of Abusive Acts and Practices Act or the Rectifying UDAAP Act

This bill restricts the Consumer Financial Protection Bureau’s (CFPB’s) authority to deem a financial act or practice abusive for purposes of enforcement activities. Currently, the CFPB may take enforcement action against a financial product or service provider in connection with any transaction with a consumer for a consumer financial product or service that is unfair, deceptive, or abusive.

Specifically, the bill prohibits the CFPB from including discrimination as an abusive practice. Further, the bill revises what an abusive practice is, including by additionally requiring the practice to intentionally interfere with the ability of a consumer to understand a term or condition.

The bill also establishes additional criteria for abusive practices. Particularly, a practice is considered abusive if (1) it causes or is likely to cause substantial injury to consumers that is not reasonably avoidable by consumers, where timely disclosed conduct is presumed to be reasonably avoidable; or (2) the substantial injury is not outweighed by countervailing benefits to consumers or to competition.

The bill also eliminates the CFPB’s ability to seek monetary relief for unfair, deceptive, or abusive practices if the provider establishes a good faith effort to comply with requirements. 

The bill establishes rulemaking requirements, including requiring a cost-benefit analysis for a rule relating to unfair, deceptive, or abusive practices.

Finally, the bill establishes the right for providers to cure violations if they self-report and limits the CFPB’s use of alternative claims in court.

What's happening now February 27, 2025

Referred to the House Committee on Financial Services.

 Hearings & markups 2
 Bill text 1 version

Source documents hosted by congress.gov.

 Committees of jurisdiction 1
 Lobbying activity 33

Registered lobbyists who named this bill in their disclosure filings. Source: federal Lobbying Disclosure Act filings.

See all 33 filings →
 Cosponsors 7
All 7 Republican 7
R
Lawler, Michael
New York · Oct 6, 2025
 R
Sessions, Pete
Texas · Sep 16, 2025
 R
Moore, Tim
North Carolina · Jul 16, 2025
 R
De La Cruz, Monica
Texas · Jun 26, 2025
 R
Meuser, Daniel
Pennsylvania · Jun 26, 2025
 R
Wagner, Ann
Missouri · Jun 26, 2025
 R
Garbarino, Andrew R.
New York · Jun 24, 2025
Cite this page click to expand
APA
U.S. Congress. (2026). H.R. 1652: Rectifying UDAAP Act. 119th Congress. Open America. https://openamerica.io/bill/119-HR-1652/
MLA
"H.R. 1652: Rectifying UDAAP Act." 119th Congress, 2026, Open America, https://openamerica.io/bill/119-HR-1652/.
Bluebook (legal)
H.R. 1652, 119th Cong. (2026), https://openamerica.io/bill/119-HR-1652/.
Markdown link
[H.R. 1652: Rectifying UDAAP Act](https://openamerica.io/bill/119-HR-1652/)
Report a problem