CFPB bulletin sets off credit union debate

When CU Times  broke the news that the CFPB issued a bulletin warning banks and credit unions that if they fail to meet accuracy obligations when reporting negative account histories to credit reporting companies, the result could be bureau action, readers had plenty to say.

The bulletin stated banks and credit unions must have systems in place to ensure accuracy when they pass on information, such as negative account histories, to checking account reporting or other credit reporting companies.

“The Consumer Financial Protection Bureau is in a unique position to make a difference in improving how the checking account reporting system actually works,” Cordray said. “We are the only federal financial regulator with the authority to supervise both the larger depository institutions and the larger consumer reporting agencies for compliance with federal consumer financial law. Thus we can consider and address these issues comprehensively, engaging directly with both sets of industry participants.”

continue reading »