It’s been a long time coming, but the Section 1071 Final Rule is finally here! You may recall this Final Rule amends Regulation B to bring Section 1071 of The Dodd-Frank Wall Street Reform and Consumer Protection Act (Dodd-Frank Act) to fruition. The Dodd-Frank Act was passed way back in 2010, and it called for changes to the Equal Credit Opportunity Act (ECOA) with respect to collecting and reporting certain data on small business credit applications, including those that are minority-owned and women-owned. It also calls for safeguarding the data, shielding it from certain persons within the loan process, recordkeeping requirements, and more.
This is going to take a lot of planning, training, and procedural updates within your institution. We just wanted to let you know we are already dissecting the Final Rule and working to bring you plain English solutions!
Jerod explains more in the video.