Letter by lawmakers urges CFPB exemptions

Feb. 23, 2016 -- A “dear colleague” letter urging lawmakers to support asking the Consumer Financial Protection Bureau to use its authority to exempt (and thus protect) credit unions from certain rulemakings is being circulated in the House.

The letter, by U.S. Reps. Steve Stivers (R-Ohio) and Adam Schiff (D-Calif.), asks CFPB Director Richard Cordray to consider language in the Dodd-Frank legislation (section 1022(b)(3)(a)) in which the CFPB is given “the authority to adapt regulations by allowing it to exempt ‘any class’ of entity from its rulemakings.”

The letter also notes that a Government Accountability Office (GAO) report recently found that financial services have been limited or discontinued by many community-based financial institutions due to new regulations. The letter points to the rules governing remittance transfers as an example.

The letter will close for signatures by March 4.