The Consumer Financial Protection Bureau (CFPB) consistently oversteps or fails to consider the whole impact of its regulations on credit unions and other consumer-focused institutions, CUNA Deputy Chief Advocacy Officer for Federal Government Affairs Jason Stverak wrote in American Banker. Stverak adds that this reality counters the CFPBs very mission, and ultimately harms the consumers it is supposed to help.
“The agency consistently overlooks the actions of responsible providers, instead issuing one-size-fits-all regulations. Regulations that don’t consider the unique benefits and challenges faced by smaller financial institutions, including not-for-profit credit unions,” he wrote. “Regulations that make services harder to provide and, in turn, harder for consumers to access safe and affordable products and services.”
Stverak highlighted the successful challenge against the CFPB’s 1071 rule from CUNA, Cornerstone League, and Rally Credit Union as a recent positive development, but noted the bureau has issued several concerning proposals in the last few months.
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