The CFPB recently released its Spring 2022 Semi-Annual Regulatory Agenda which gives us some insight into where it’s at on a number of rulemaking activities. Specifically:
Section 1071/Small Business Lending Data Collection
The industry is undoubtedly interested on where the CFPB is at with the Section 1071 Rulemaking. Interestingly enough, it appears a final rule isn’t projected until March 2023. Given the pressure on the CFPB to implement this Rule, many (including us) believed we would have seen a final rule by now. Whenever it does happen, it will bring BIG changes. If you’re looking to get a bit of a handle on what’s ahead, we have training available. Get an overview or a take a “Deep Dive”.
PACE and Ability to Repay (ATR)
The CFPB plans to issue a proposed rule around May 2023 to bring this type of financing, which results in property tax assessments, in line with the ATR requirements.
Automated Valuation Models (AVMs)
An interagency proposal is anticipated for December 2022 to establish quality control standards for AVMs.
Section 1033/Consumer Access to Financial Records
Work continues on the requirement for institutions to give consumers access to their financial data in standardized formats. While there is no projected date for a proposed rule at this time, the CFPB plans to release materials to be used by the required Small Business Review Panel in November 2022.
FCRA Amendment to Protect Human Trafficking Victims
The Agenda projected a final rule would be issued and it was on June 23, 2022. The final rule gives human trafficking victims an avenue to have any resulting adverse information removed from their consumer reports.
Based on what the CFPB released and the fact the FCRA Amendment has already been finalized, there does not appear to be any new rules on the immediate horizon. In a recent blog, the CFPB stated it wanted to move towards “simpler and clearer rules” and reiterated it would be “dramatically increasing the amount of guidance” it issues. It also noted it would be reviewing certain requirements under The CARD Act; The Fair Credit Reporting Act; and the Qualified Mortgage Rules. So, those are areas on the CFPB’s radar as well!
We’ll just have to wait and see what the next six months bring, but either way, we are here to serve you!
Published
2022/06/30
