CFPB deputy director Steve Antonakes has told a meeting of the Consumer Bankers Association that the financial watchdog is not looking to "maximize consumer protection or industry deterrence at all costs".
"There is such a thing as doing too little, and there is such a thing as doing too much. We are aiming instead at doing justice," he said.
Instead, Antonakes has claimed the CFPB will take each case on its own merits.
"On the facts of each matter, we are focused on getting things right, as far as we can manage to do so, which is why we have closed several enforcement investigations to date with no finding of a legal violation," Antonakes said.
Antonakes said the group would seek to incentivize conduct leading to greater levels of compliance, rather than merely monitoring and identifying violations. He argued that the CFPB would take into account "proactive compliance efforts" as part of its responsible conduct policy.
"We can and will consider such conduct within our discretion in deciding whether a particular matter justifies a public enforcement action and assessing what level of civil penalties should be levied. In fact, we have relied on this approach in several matters already."
A CFPB official has claimed the regulator is not "one-sided" in its approach to the mortgage industry.