Removing Barriers Blog

CUNA Sends Letter to Energy and Commerce Subcommittee about TCPA Order Concerns
Posted November 17, 2015 by CUNA Advocacy

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.