The chorus of congressional voices calling for credit union regulatory relief grew louder this week with a letter to the Consumer Financial Protection Bureau (CFPB) regarding the agency’s proposed rule on arbitration.
Signed by 36 senators and 104 representatives, the letter calls for CFPB Director Richard Cordray to reconsider the agency’s recently proposed rule on arbitration, and examine and develop alternative proposals that foster consumer choice and preserve access to efficient dispute resolution.
“Rather than giving consumers greater access to justice, the proposal will make it more difficult and more expensive for consumers to resolve disputes for service providers,” reads the letter, led by Sen. Ben Sasse (R-Neb.) and Rep. Patrick McHenry (R-N.C.).
“We appreciate the support of these 140 members of Congress, who recognize that rules, such as this, that are not narrowly tailored to address specific abuses, can actually harm consumers,” said Eli Joseph, CUNA deputy chief advocacy officer. “CUNA remains concerned that frivolous class action litigation harms credit unions and their members, and jeopardizes consumers’ ability to access the high-quality and affordable products that credit unions provide.continue reading »