Though the House is in recess this week, the Senate is in session and CUNA is engaged with a number of happenings this week on Capitol Hill. Most notably, CUNA will continue encouraging senators to vote in favor of the repeal of the Consumer Financial Protection Bureau's arbitration rule under the Congressional Review Act.
The rule would restrict the use of arbitration clauses to protect against class action litigation. While credit unions less frequently use, or enforce, arbitration clauses, they have concerns about a rule that encourages credit union member-owners to engage in class action litigation against themselves.
CUNA wrote to Senate leaders last week asking them to vote in favor of repeal. Last week’s letter was a follow-up to a letter CUNA sent last month, outlining why the rule could cause harm to community financial institutions.
The House passed its resolution to repeal the rule in July.
CUNA is also engaged with Tuesday’s Senate Financial Committee hearing on business tax reform. The credit union tax status is not expected to be addressed, but CUNA is prepared should the topic arise.
The hearing is scheduled to begin at 10 a.m. (ET).