WASHINGTON—The Bureau of Consumer Financial Protection is being urged to improve its education programs.
CUNA and NAFCU made the request to the agency in separate letters to the Bureau in response to the BCFP's request for information on financial education.
CUNA asked the BCFP to partner with the National Credit Union Foundation to improve consumer financial literacy, making the recommendation via its white paper on “Common Sense Reforms” for the BCFP.
CUNA Deputy Chief Advocacy Officer Elizabeth Eurgubian said the paper states that credit unions are uniquely positioned to provide financial education to members and focus on consumer well-being.
“The paper also asks that the Bureau work closely with the National Credit Union Foundation, as it is an excellent resource to the financial services industry,” she said. “We strongly encourage the Bureau to partner with the Foundation in its consumer education efforts. We also strongly recommend that the Bureau utilize financial education efforts to guide consumer behavior, rather than issue additional rulemaking to guide certain consumer choices.”
NAFCU Stance
NAFCU Senior Regulatory Affairs Counsel Ann Kossachev sent the letter to the BCFP offering ways for the Bureau to improve its education programs to strengthen consumers' financial literacy.
"Credit unions are deeply invested in the financial well-being of their communities and, therefore, provide the best avenue to disseminate financial education resources," wrote Kossachev. "NAFCU encourages the Bureau to establish a strong, sustainable partnership with credit unions to distribute its financial education resources … Local outreach and efforts are most likely to make a meaningful impact and begin to effectuate improvements in Americans' financial health."
Kossachev highlighted a recent Economic & CU Monitor survey that found 94% of respondents' credit unions offered some form of financial literacy programming, and several also had innovative methods to promote greater fiscal responsibility.
In addition to working with the NCUA and credit unions more closely, Kossachev recommended that the bureau:
- Consider including legal disclaimers on more of its guides and webpages
- Expand its resources covering payday loans and saving for retirement
- Leverage video resources more effectively by directly linking to all relevant videos on its money topic pages
- Conduct in-person meetings on financial education topics on at least a quarterly basis
- Expand its Spanish and other foreign language resources
- Continue to collaborate with other federal regulators through the Financial Literacy Education Commission (FLEC) and link to relevant resources from other federal regulators on the bureau's website