Dear Community Banker:
Community bankers never give up—especially when it comes to protecting the privacy interests of our customers and limiting the regulatory burdens that interfere with lending.
Following a district court decision earlier this week denying ICBA’s lawsuit challenging the Consumer Financial Protection Bureau’s 1071 small-business rule, we are now in the process of appealing the ruling.
In our court filing, ICBA, the Independent Bankers Association of Texas, the American Bankers Association, the Texas Bankers Association, and Texas First Bank argued that the bureau violated the law in issuing its 1071 rule by exceeding its statutory authority and by failing to comply with the Administrative Procedures Act.
While a U.S. District Court denied our motion, we will continue our fight against the CFPB’s data collection and reporting rule, which would ultimately harm the small-business borrowers it is trying to help.
Meanwhile, ICBA and the nation’s community banks will continue to strongly support legislation to rein in the CFPB’s excessive regulatory burdens that impede access to credit, including the CFPB Transparency and Accountability Reform Act, the Small Lenders Exempt from New Data and Excessive Reporting Act, the Bank Loan Privacy Act, and the Rectifying UDAAP Act.
The bottom line: With the 1071 rule posing a serious threat to small businesses nationwide, ICBA will continue utilizing every available channel to mitigate the negative impact of this and other misguided CFPB rulemakings on community banks and the local communities you serve.
