Links in “Proposals, Requests, & Comments”
- NCUA Hopes to Increase the NCUSIF Equity Ratio
The NCUA plans to ask Congress to amend the Federal Credit Union Act to allow for a risk-based NCUSIF insurance premium system. The NCUA claims that the current 1.3% equity ratio cap is too restrictive. [4/7/15]
- CUNA Says CFPB Should Increase Relief in âRuralâ Definition Rule
CUNAâs comment letter is supportive of the CFPBâs proposal to broaden the definition of a âruralâ area, but states that the proposed rule should go farther and provide impact analyses to show how communities, consumers, and creditors would be affected if the yearly loan limit was increased from 2,000 to 2,500, 3,000, 3,500, etc. In addition, the small creditor asset limit of $2 billion may be arbitrary and CUNA is asking for consideration to be given to raising the limit. [3/31/15]
- Here’s the Skinny on the CFPB’s Payday Lending
The CFPB released its proposal for its payday lending rules in a press release, fact sheet, and outline. The proposal is sweeping. Here's the rundown of what the CFPB is proposing. And here's the NY Times' take on the proposal. [3/27/15]
- Credit Unionsâ Goal: Get Members Out of Payday Lending Cycle
At a CFPB hearing in Richmond, the credit union message stood apart from the message of other panelists, many of whom testified about the need for payday lending services. Stan Leicester of Bayport CU testified that credit unions have two primary objectives; to get members off of the weekly payday lending cycle and to help them improve their credit scores. [3/27/15]
- Nine Reg Relief Bills Pass House Committee
The House Financial Services Committee has approved nine bills that offer regulatory relief to financial institutions. The bills that will now be brought up for a vote on the House floor address a variety of issues from the elimination of annual privacy notices (when no changes have occurred) to a modification of the TILA definition of âpoints and fees.â [3/27/15]
- CFPB on Payday Lending: It’s a Trap!
The CFPB is considering proposals to prevent and provide protection against payday debt traps related to short-term loans and longer-term loans. Prevention proposals would require the lender to determine at the outset of the loan that the borrower has the ability to repay the loan. Protection proposals would require lenders to provide affordable payment options. [3/26/15]
- Publishing Unverified Complaints Misses the Point
The CFPB's policy of allowing unverified consumer complaint narratives is a perfect example of white noise overshadowing facts. [3/26/15]
- Payday Loans: Study Refutes CFPB’s Payment-to-Income Ceiling Concept
The CFPB's proposed revisions to payday lending are expected to include a payment-to-income ratio ceiling. This study shows why that may be a bad idea, as well as detrimental to the borrowers such a proposal is meant to protect. [3/26/15]
- Payday Loan Reform Proposal Expected Today
The CFPB is expected to release its proposal for sweeping reforms to the short-term loan business today. [3/26/15]
- CUNA Says CFPBâs Proposed Rule on Prepaid Accounts May Have Adverse Consequences
In a comment letter to the CFPB regarding its proposed rule on prepaid accounts, CUNA warns that applying Regulation E to prepaid accounts may not be appropriate and could result in these types of accounts being less accessible, particularly by the underserved. [3/24/15]
