KANSAS CITY, Mo.–Credit unions will find out Thursday whether the CFPB intends to sweep them under its new rules for small dollar lending.
The CFPB will hold a field hearing in Kansas City at which it will introduce its proposed rule for small dollar loans and payday lending. The credit union trade groups have spent more than a year trying to work with the CFPB and pushing back against including CUs as part of any new rules, with CUNA’s Deputy Chief Advocacy Officer and Senior Counsel Elizabeth Eurgubian saying the group has “repeatedly stressed” that credit unions offer good, consumer-friendly small dollar loan products and that the CFPB should instead focus on the “bad actors.”
Eurgubian noted that credit unions were included in a preliminary framework for the proposal that the CFPB released in 2015, but that it has since received messages that credit unions may not be included in the proposal to be released on Thursday.