Last week, by a vote of 221-202, the House of Representatives voted to approve S.J. 32, the resolution introduced under the Congressional Review Act to override the CFPB’s final Section 1071 small business lending rule (1071 Rule). The Senate voted to approve S.J. 32 in October 2023. President Biden is expected to veto the resolution and there is unlikely to be sufficient votes to override his veto. … Continue Reading
1071
This week’s podcast episode: An even deeper dive into the CFPB’s final Dodd-Frank Section 1071 rule on small business data collection
By Barbara S. Mishkin on
The CFPB’s final rule implementing Section 1071 requires financial institutions to collect and report certain data in connection with credit applications made by small businesses, including women-, minority- or LGBTQI+-owned small businesses. In this episode, we respond to questions received from attendees of our April 2023 attendance-breaking webinar about the final rule. … Continue Reading
Texas federal court grants motion of community bank and community bank trade groups for leave to intervene in lawsuit challenging CFPB final small business lending rule; motion for preliminary injunction filed by community bank and community bank trade groups
Two new developments occurred yesterday in the Texas lawsuit challenging the CFPB’s final small business lending rule (Rule).
First, the Texas federal district court granted the unopposed emergency motion of Texas First Bank (Texas First), Independent Bankers Association of Texas (IBAT), and Independent Community Bankers of America (ICBA) seeking leave to intervene in the lawsuit. … Continue Reading
Texas federal court grants credit union motion for leave to intervene in lawsuit challenging CFPB final small business lending rule; new lawsuit challenging rule filed in Kentucky federal court
A Texas credit union and two credit union trade associations have been granted leave to intervene in the lawsuit challenging the CFPB’s final small business lending rule (Rule) that is pending in a Texas federal district court. The Unopposed Emergency Motion for Leave to Intervene was filed by Rally Credit Union (Rally), a Texas-chartered credit union, the Credit Union National Association (CUNA), a national credit union trade association, and Cornerstone Credit Union League (CCUL), a regional credit union trade association. … Continue Reading
CFPB publishes FAQs on small business lending rule
Last week, the CFPB added a set of Frequently Asked Questions to the compliance resources on its website for its small business lending rule implementing Dodd-Frank Section 1071.
The CFPB also published a slide deck for a webcast it held titled “Determining institutional coverage pursuant to the small business lending rule.” … Continue Reading
CFPB files opposition to preliminary injunction motion in lawsuit challenging Section 1071 final rule
The CFPB has filed its opposition to the motion seeking a preliminary injunction filed by the plaintiffs in the lawsuit challenging the validity of the CFPB’s final rule implementing Section 1071 of the Dodd-Frank Act (Rule). The plaintiffs in the amended complaint are the Texas Bankers Association (TBA), the American Bankers Association (ABA), and Rio Bank, McAllen, Texas.… Continue Reading
CRA resolutions introduced to override CFPB Section 1071 small business lending rule
Two joint resolutions under the Congressional Review Act (CRA) to override the CFPB’s final Section 1071 small business lending rule have been introduced by Republican members in the House. The resolutions are H.J. Res. 50 introduced on April 3, 2023 and H.J. Res. 66 introduced on May 31, 2023. (Since the two resolutions and their sponsors are identical, except that H.J.… Continue Reading
This week’s podcast episode: The Consumer Financial Protection Bureau’s final Section 1071 rule on small business data collection: what you need to know, Part II, with special guest David Skanderson, Vice President, Charles River Associates
By Barbara S. Mishkin on
At the end of March 2023, the CFPB issued its long-awaited final rule to implement Section 1071 of the Dodd-Frank Act. Section 1071 amended the Equal Credit Opportunity Act to require financial institutions to collect and report certain data in connection with credit applications made by small businesses, including women- or minority-owned small businesses. … Continue Reading
This week’s podcast episode: The Consumer Financial Protection Bureau’s final Section 1071 rule on small business data collection: what you need to know, Part I
By Barbara S. Mishkin on
At the end of March 2023, the CFPB issued its long-awaited final rule to implement Section 1071 of the Dodd-Frank Act. Section 1071 amended the Equal Credit Opportunity Act to require financial institutions to collect and report certain data in connection with credit applications made by small businesses, including women- or minority-owned small businesses. … Continue Reading
Texas banking trade group and Texas bank file lawsuit challenging validity of CFPB Section 1071 final rule on small business data collection; Ballard Spahr to hold June 15 webinar
While it has only been a month since the CFPB issued its final rule to implement Section 1071 of the Dodd-Frank Act, the CFPB is already facing a lawsuit challenging the rule’s validity. The lawsuit was filed last week in a Texas federal district court by the Texas Bankers Association and Rio Bank, McAllen, Texas. … Continue Reading