Ongoing and future regulatory activities planned regarding small-business loan data collection, the exemption for higher-priced mortgage loan escrows, remittance transfer rules and more at the Consumer Financial Protection Bureau (CFPB) are summarized in a semiannual report released by the bureau Wednesday covering the six-month period that ended March 31.
The semiannual report, likely to provide a basis for discussion in two congressional oversight hearings next week featuring CFPB Director Kathleen Kraninger, provides a round-up of activities at the bureau from Oct. 1, 2018, through March 31, 2019. Much of the material included in the report has since become a bit outdated given the activities of the past few months, but there are a few nuggets giving a look at what is still to come.
Here are those nuggets:
- Business lending data collection (Regulation B): The bureau is working to develop rules to comply with Section 1071 of the Dodd-Frank Act of 2010. Section 1071 amended the ECOA to require financial institutions to collect, report, and make public certain information concerning credit applications made by women-owned, minority-owned, and small businesses. “The Bureau expects that it will be able to resume pre-rulemaking activities on the Section 1071 project within this next year,” the report says. It also says the bureau plans to hold a symposium this November on small business loan data collection.
- Higher-priced mortgage loan escrow exemption: The bureau plans to publish a proposed rule in FY 2020 to exempt certain escrow requirements loans made by certain creditors with assets of $10 billion or less and meeting other criteria, consistent with the 2018 Economic Growth, Regulatory Relief, and Consumer Protection Act (EGRRCPA, S. 2155). The CFPB’s current rules exempt creditors with less than $2 billion in assets (and meeting “other” criteria).
- Remittance transfers: An exception to disclosure requirements for international remittance transfers, permitting insured depository institutions in certain circumstances to estimate certain pricing information, is currently set to expire July 21, 2020. “The Bureau is now considering appropriate steps, which may include rulemaking, related to the expiration of the exception and other potential remittance transfer issues,” the report states. It’s taking into account the comments received during the bureau’s “call for evidence” regarding its rulemaking and other processes.
CFPB’s semiannual report (Spring 2019)