Removing Barriers Blog

CFPB Releases Latest Rulemaking Agenda
Posted November 20, 2015 by CUNA Advocacy

Today the CFPB released its fall rulemaking agenda providing some insight into what issues it will be focusing on in the next several months. We've been closely following several of the pending rulemakings listed, including overdraft, payday/small-dollar loans, prepaid accounts, debt collection, arbitration, and mortgage issues. The Bureau has also updated a portion of the Unified Agenda focusing on long-term actions to reflect potential initiatives beyond November 2016. These include potential rulemakings to address important issues related to credit reporting and student loan servicing. We have continually been engaging with the CFPB about these rulemakings and pending rulemakings, and providing input on how they may impact credit unions. 

In the rulemaking agenda the CFPB indicates that overdraft is remaining in the “pre-rule” stage, stating that, “In preparation for the rulemaking, the Bureau is conducting additional research and has begun consumer testing initiatives related to the opt in process.” We've been urging the CFPB to provide additional research about overdraft after its release of a White Paper and report which we believe needed to be better informed.

The CFPB also indicated that it is continuing to evaluate and provide guidance materials for the recently finalized Home Mortgage Disclosure Act (HDMA) rules. The CFPB’s release states, “The Bureau is also continuing to support the implementation of various other mortgage-related final rules we issued in January 2013 to implement Dodd-Frank Act reforms and strengthen consumer protections involving mortgage origination and servicing. Among other efforts, we’re monitoring the market and continuing to issue clarifications and amendments as warranted.” It also talks about the future release of a compliance guide and other support materials and programs to prepare for implementation of various parts of the rule starting in 2017 and 2018. Despite the finalization, we are continuing to advocate for changes to the HMDA final rule prior to its required implementation.

In reference to the impending payday, small-dollar rulemaking the CFPB indicates that the proposed rule will come out in the first quarter of 2016. The CFPB also indicated that it plans to release additional research in connection with the proposed rule. We've been strongly advocating for the CFPB to consider how parts of this proposal impact credit union payday loan alternatives, and to provide exemptions to allow credit unions to continue to offer these services.

The agenda also indicates that it expects to release the final rule for prepaid accounts in the spring of 2016. We sent a letter to the CFPB outlining credit union concerns with this proposed rule, and recently met with the CFPB to reiterate them.

For debt collection it appears the CFPB is continuing to research this issue so a proposed rule may not be coming as soon as previously expected. It states, “The Bureau is now analyzing the results of a groundbreaking nationwide survey related to consumers’ experiences with debt collection. We’re also engaged in consumer testing initiatives to determine what information would be useful for consumers to have about debt collection and their debts and how that information should be provided to them.”