WASHINGTON, DC (July 10, 2017) — The Consumer Financial Protection Bureau finalized its rule to eliminate arbitration clauses that are routinely included in many contracts for consumer financial products, which can protect credit unions from class action lawsuits. Jim Nussle, Credit Union National Association (CUNA) president/CEO, issued the following statement:
“CUNA is analyzing the CFPB’s final rule on arbitration. We are disappointed that the CFPB continues to apply new rules on credit unions when there is no evidence of consumer abuse by credit unions and as financial institutions that are member-owned, credit unions have a long history of working with their members to resolve disputes. The additional regulatory burden imposed on credit unions in response to abuses by other financial services providers further rigs the regulatory scheme in favor Wall Street banks and other abusers of consumers and does credit union members an incredible disservice.”
CUNA filed a comment with the CFPB asking the Bureau to consider the different structure and dispute resolution process at credit unions.
With its network of affiliated state credit union leagues, Credit Union National Association (CUNA) serves America's credit unions, which are owned by more than 100 million consumer members. Credit unions are not-for-profit cooperatives providing affordable financial services to people from all walks of life. For more information about CUNA, visit www.cuna.org or follow @CUNA on Twitter. For more information about credit unions, visit www.aSmarterChoice.org and follow @asmarterchoice on Twitter.