Today we sent a letter urging Congress to address the recent
TCPA ruling and Order from the FCC, which has created some significant problems
for credit unions. We urged the House Committee on Energy and Commerce’s
Subcommittee on Communications and Technology to take on this issue during its
FCC oversight hearing today.
We outlined many concerns about how this Order is impacting
credit union operations and exposing them to liability. We expressed our belief
that when Congress passed the TCPA decades ago, it did not intend to
arbitrarily scrutinize and limit communications between credit unions and their
members.
The letter also expressed concerns that the TCPA Order has
made it easier for opportunistic plaintiffs firms to engage in frivolous
class-action litigation against financial institutions. The letter notes,
“Frivolous class action litigation has proven costly and detrimental to the
mission of credit unions to serve their members and provide the best products
and service offerings at competitive rates.”
We also pointed out that the White House’s Budget for 2016
created an exemption from the TCPA for the federal government, when it collects
government-owned debts. The exemption for the federal government allows it to
make calls without the prior express consent needed by others using autodialing
systems to make these kinds of calls.
This creates a double standard: while credit unions have to
meet extensive conditions to do their daily business, federal agencies do not. We
appreciate the Administration’s recognition that the TCPA Order is unworkable,
and hope it will support reforms by others such as credit unions who it also
does not work for in its current form.
CUNA President/CEO Jim Nussle urged Congress to address the
FCC overreach during the hearing, and to take action to hold the FCC
accountable to provide more transparency to those seeking to comply with laws
under its jurisdiction.
We will continue to engage with Congress on this issue, and
will also continue to weigh in with regulators and the judicial branch.