CUNA Advocacy Update

Action Alert: CFPB’s Small Dollar Loan Proposal: The Consumer Financial Protection Bureau (CFPB) released an extremely complex 1,300+ page small dollar rule in early June. The proposed rule includes some reforms to predatory lending practices, which credit unions would support if narrowly tailored. Unfortunately, the CFPB’s proposed rule badly misses the mark of targeting predatory behavior, and instead threatens to limit consumer-friendly credit union alternative short-term, small dollar loans. We encourage you to share your story with the CFPB and tell them the negative impact this rule will have on your ability to provide services to your members. The comment period closes on October 7.

Congress Is Still at It… The rumors of an early exit for Congress have once again been proven wrong.  Congress remains in session this week with a Friday deadline for passing a funding resolution keeping the government open into the next fiscal year.  As leaders continue to put that legislation together, the House floor will be filled with minor bills considered under suspension of the rules.  In addition to these bills and the continuing resolution, the House is also expected to consider the “Water Resources Development Act of 2016” (H.R. 5303).  The Senate is already at work on the continuing resolution:  when it reconvenes Monday, it will resume consideration of H.R. 5325.

As usual, we are following several hearings on both sides of the Capitol, including the following:


  • The House Financial Services Committee Financial Institutions and Consumer Credit Subcommittee will hold a hearing on “Examining Legislative Proposals to Address Consumer Access to Mainstream Banking Services,” including H.R. 347, the “Facilitating Access to Credit Act of 2015”; H.R. 3035, the “Credit Access and Inclusion Act of 2015”; H.R. 4116, to amend the Federal Deposit Insurance Act to ensure that the reciprocal deposits of an insured depository institution are not considered to be funds obtained by or through a deposit broker; H.R. 4211, the “Credit Score Competition Act of 2015”; H.R. 5660, the “Retail Checking Account Protection Act of 2016”; and the “Protect Prepaid Accounts Act of 2016.”
  • The House Financial Services Committee Monetary Policy and Trade Subcommittee will hold a hearing on “The Financial Stability Board’s Implications for U.S. Growth and Competitiveness.”


  • The House Financial Services Committee will hold a full committee hearing on “Semi-Annual Testimony on the Federal Reserve’s Supervision and Regulation of the Financial System.”
  • The House Financial Services Committee Housing and Insurance Subcommittee will hold a hearing on “The Impact of US-EU Dialogues on U.S. Insurance Markets.”


  • The House Financial Services Committee will hold a full committee hearing on “Holding Wall Street Accountable: Investigating Wells Fargo’s Opening of Unauthorized Customer Accounts.”

Pending Regulatory Comment Calls: CUNA intends to comment on the following pending regulatory proposals. For our comment letter to have the greatest impact, we need to hear from you. Please consider whether and how these proposals would affect your credit union, and contact the CUNA staff listed with each proposal with your feedback    We encourage Leagues and credit unions to use PowerComment to file comment letters with regulators. For more information regarding these proposals, please follow the links below:

Issue Comment Period Deadline Agency CUNA Staff Contact
OMB Request: Consumer Response Company Response Survey September 30, 2016 CFPB Luke Martone
Payday Loans October 7, 2016 CFPB Leah Dempsey
Single-Family Credit Risk Transfer October 13, 2016 FHFA Andy Price
Amendments to TRID under Reg Z October 18, 2016 CFPB Andy Price
CIP/AML & Beneficial Ownership Requirements for Banks Lacking a Functional Federal Regulator October 24, 2016 FinCEN Luke Martone
Amendments Relating to Disclosure of Records and Information October 24, 2016 CFPB Luke Martone
Request for Information: Payday Loans November 7, 2016 CFPB Leah Dempsey

Energy and Commerce Committee Highlights Credit Unions’ TCPA Concerns: At last week’s House Energy and Commerce Subcommittee on Communications and Technology hearing, legislators and witnesses expressed many of our same concerns regarding the FCC’s July 2015 Order for the Telephone Consumer Protection Act (TCPA). The clear consensus of the committee and witnesses was that the 90s-era TCPA is desperately in need of modernization in the cell-phone age.

We wrote to the committee before the hearing in a letter and in written testimonyoutlining a number of concerns and calling for Congress to act on what we believe is an overreach by the FCC.

In his comments, Rep. Robert Latta (R-OH) echoed two of our main concerns with the FCC order: that businesses still need to have clear avenues to communicate with their customers, and that the FCC’s expanded definition of “autodialer” is unclear and leads to compliance confusion. [Read More]

Alabama and Georgia Legislatures Delve into Credit Union Issues: Alabama Governor Robert Bentley convened the Alabama Consumer Protection Task Force to study the state’s consumer finance laws. The task force will report its findings and recommendations to the governor by Jan. 30, 2017.  Meanwhile, the Georgia state legislature is studying data security ahead of its 2017 session. The Georgia Senate Study Committee is designed to look at how the state can strengthen its data security, and what, if anything, the state could accomplish on the legislative front. [Read More]

Posted in Advocacy News, CUNA.