CFPB witness indicates upcoming payday lending proposal will protect credit union products
WASHINGTON, DC (February 11, 2016) — Jim Nussle, President/CEO of the Credit Union National Association (CUNA), issued a statement following the House Financial Services Subcommittee on Financial Institutions and Consumer Credit hearing on short-term, small dollar loans:
“I would like to thank the CFPB for agreeing that the NCUA PAL program should not be pre-empted in the forthcoming rulemaking for small dollar and payday loans during an exchange at today’s hearing with Representative Denny Heck (D-WA). We also appreciated the CFPB clarifying that it does not intend to disrupt the kind of thoughtful lending that credit unions do in response to a question from Representative Keith Rothfus (R-PA). We understand this to mean that the CFPB does not plan to sweep consumer friendly credit union small-dollar loans offered by both federal and state-charted credit unions into its rule, which would ensure that credit unions’ ability to provide safe and affordable alternatives is not inhibited.”
Credit Union National Association (CUNA) is the only national association that advocates on behalf of all of America’s credit unions, which are owned by 135 million consumer members. CUNA, along with its network of affiliated state credit union leagues, delivers unwavering advocacy, continuous professional growth and operational confidence to protect the best interests of all credit unions. For more information about CUNA, visit cuna.org. To find your nearest credit union, visit YourMoneyFurther.com.