Removing Barriers Blog

CU Advisory Council gives feedback on HMDA, PACE Financing
Posted March 15, 2019 by CUNA Advocacy

The Credit Union Advisory Council (CUAC) met in Washington, D.C. on Thursday to advise the CFPB on several issues of importance to credit unions, including HMDA, credit reporting, PACE, and financial literacy.  CUNA attended the session.  

The members of the CUAC, all of which are CUNA-member credit unions, provided feedback, including calling for the Bureau to consider increasing HMDA reporting thresholds and reducing the data set after its substantial expansion in the 2015 HMDA Rule.  In its discussion of credit reporting, the members expressed concern with so-called “credit repair” businesses which often file frivolous disputes of legitimate debts in the hopes of straining a credit union’s resources available to respond. 

During the combined session, the Consumer Advisory Board (CAB) and the two industry councils discussed financial literacy and the importance of savings. The CUAC members provided examples of the work their credit unions are doing in their communities to support financial education and bolster their members’ financial health.  In addition, on the topic of PACE financing, the councils called on the Bureau to work to quickly implement appropriate and effective consumer protections on this product, as required by S. 2155.

The community bank and credit union councils advise and consult with the CFPB on consumer financial issues related to community banks and credit unions.  CUNA worked to ensure the CUAC was preserved as a valuable source of feedback for the Bureau.