CFPB Proposes Business Loan Data Collection Rule

The CFPB has announced a proposed new rule, mandated by Congress in section 1071 of the Dodd-Frank Act, that would, if finalized, require lenders to disclose information about their lending to small businesses. This would allow community organizations, researchers, lenders, and others to better support small business and community development needs.

Under the proposal, lenders would be required to report the amount and type of small business credit applied for and extended, demographic information about small business credit applicants, and key elements of the price of the credit offered.

The CFPB also launched a web portal for small business entrepreneurs to share their stories about applying for credit, which will help the CFPB understand small business entrepreneurs’ challenges and successes in accessing credit. The portal can be found on the CFPB’s Small Business Lending webpage.

The CFPB also said that specific and detailed feedback and suggestions for ways to improve the rule will be especially helpful as the Bureau works to finalize the rule in a timely manner. The comment period is 90 days from publication in the Federal Register, and the CFPB does not anticipate an extension of that deadline.

Question of the Week

Q. We have a member who was recently incarcerated. What happens to their Social Security benefits while they are imprisoned?

A. The Social Security Administration states that Social Security benefits will be suspended upon incarceration (jail or prison) for more than 30 continuous days. Benefits will be reinstated starting the month following the month the person is released. Benefits to a person’s spouse or children will continue, as long as they remain eligible.

Related Link

What Prisoners Need to Know

Compliance Alerts

National Credit Union Administration

NCUA Releases 2021 Second Quarter Credit Union System Performance Data: The NCUA released second-quarter 2021 financial performance data for federally insured credit unions. The report shows an increase in net income as well as an increase in insured shares and deposits.

Consumer Financial Protection Bureau

FFIEC Updates 2022 HMDA Filing Instructions Guide: The FFIEC has issued the updated HMDA Filing Instructions Guide for 2022.

Office of Foreign Assets Control

OFAC has updated the SDN list as of Sept. 13. The last update prior to this was Sept. 3.

Questions? Contact the Compliance Hotline: 1.800.546.4465, compliance@nwcua.org.

Posted in Compliance, Compliance News, Compliance Question.