Company: CPSS
Filing Date: 2025-03-12
Form Type: 10-K
Source: 0001683168-25-001548
Chunk: 27

Company: CONSUMER PORTFOLIO SERVICES, INC.
Filing Date: 2025-03-12
Form: 10-K
Item: Item 1
Chunk 27
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 complied with in all material respects. Although a dealer would be
obligated to repurchase automobile contracts that involve a breach of such warranty, there can be no assurance that the dealer will have
the financial resources to satisfy its repurchase obligations. Certain of these laws also regulate our servicing activities, including
our methods of collection.

We are subject to supervision
and examination by the Consumer Financial Protection Bureau (the “CFPB”), a federal agency created by the Dodd-Frank Wall
Street Reform and Consumer Protection Act (the “Dodd-Frank Act”). The CFPB has rulemaking, supervisory and enforcement authority
over “non-banks,” including us. The CFPB is specifically authorized, among other things, to take actions to prevent companies
from engaging in “unfair, deceptive or abusive” acts or practices in connection with consumer financial products and services,
and to issue rules requiring enhanced disclosures for consumer financial products or services. The CFPB also has authority
to interpret, enforce and issue regulations implementing enumerated consumer laws, including certain laws that apply to us.

The Dodd-Frank Act and related
regulations are likely to affect our cost of doing business, may limit or expand our permissible activities, may affect the competitive
balance within our industry and market areas and could have a material adverse effect on us.  

In addition to the CFPB, other
state and federal agencies have the ability to regulate aspects of our business. For example, the Dodd-Frank Act provides a mechanism
for state Attorneys General to investigate us. In addition, the Federal Trade Commission has jurisdiction to investigate aspects of our
business. We expect that regulatory investigation by both state and federal agencies will continue, and there can be no assurance that
the results of such investigations will not have a material adverse effect on us.

We believe that we are currently
in material compliance with applicable statutes and regulations; however, there can be no assurance that we are correct, nor that we will
be able to maintain such compliance. The past or future failure to comply with applicable statutes and regulations could have a material
adverse effect on us. Furthermore, the adoption of additional statutes and regulations, changes in the interpretation and enforcement
of current statutes and regulations or the expansion of our business into jurisdictions that have adopted more stringent regulatory requirements
than those in which we currently conduct business could have a material adverse effect on us. In addition, due to the consumer-oriented
nature of our industry and the application of certain laws and regulations, industry