Last week, the Texas Bankers Association filed a suit to block the CFPB’s implementation of Section 1071’s final rule. The lawsuit was joined by TBA member, Rio Bank out of McAllen Texas.
As you know, Section 1071 of the Dodd-Frank Act requires the collection and submission of data relating to credit applications by women-owned, minority-owned, and small businesses. TBA President and CEO Chris Furlow said, “CFPB has taken 3 pages of legislation requiring 13 data points and turned it into nearly 900 pages of regulation requiring 81 data points. CFPB repeatedly exceeds its authorities and ignores required rulemaking law because its unconstitutional funding and leadership structure make it accountable to no one.”
We’ll be following this as it develops and sharing updates with you as they happen.
In the meantime, check out our comprehensive, curated launch pad for all things Section 1071 to ease the regulatory burden and help you achieve compliance.