CA AB1864

Renames the "Department of Business Oversight" to the "Department of Financial Protection and Innovation" and the commissioner position accordingly, with all powers, duties, and functions transferring to the renamed entity.

Enacts the California Consumer Financial Protection Law (CCFPL) to regulate consumer financial products and services, prohibiting covered persons and service providers from engaging in unlawful, unfair, deceptive, or abusive acts or practices.

Creates a Financial Protection Fund from fees, fines, penalties, and enforcement proceeds to fund the department's administration of the CCFPL, with the department authorized to set annual registration fees for covered entities.

Grants the department broad authority to conduct investigations, issue subpoenas, promulgate regulations, hold hearings, and bring administrative and civil enforcement actions with penalties up to $1 million per day for knowing violations.

Requires the commissioner to annually report to the Legislature on enforcement actions and department activities, and establishes a Financial Technology Innovation Office to promote consumer-protective innovation in financial services.