What is the maximum civil penalty which can be assessed by the CFPB under the SAFE Act?

The maximum civil penalty that can be assessed by the Consumer Financial Protection Bureau (CFPB) under the Secure and Fair Enforcement for Mortgage Licensing Act (SAFE Act) is set at $25,000 per violation. This amount reflects the seriousness of non-compliance with the provisions intended to ensure transparency and consumer protection in the mortgage industry.

In this context, the SAFE Act establishes standards for ensuring that mortgage loan originators meet licensing requirements, protecting consumers against fraud and unethical practices. The penalty structure is designed to deter violations while providing enforcement agencies tools to address non-compliance effectively.

The available options highlight different violation penalties related to other regulations or acts, but only the $25,000 amount aligns with the specific provisions under the SAFE Act as established by the CFPB. Other amounts mentioned do not pertain to the SAFE Act’s penalties: for instance, higher amounts like $1,000,000 would be associated with far more serious offenses, not typically connected to the civil penalties imposed under the SAFE Act mandates.