WASHINGTON (9/21/15 UPDATED 2:45 p.m. ET)--The Consumer Financial Protection Bureau (CFPB) finalized a rule this afternoon increasing the number of financial institutions able to offer certain mortgages in rural and underserved areas. CUNA supported most aspects of this rule when it was proposed, and the final rule is largely unchanged.
“The financial crisis was not caused by community banks and credit unions, and our mortgage rules reflect the fact that small institutions play a vital role in many communities,” said CFPB Director Richard Cordray. “These changes will help consumers in rural or underserved areas access the mortgage credit they need, while still maintaining these important new consumer protections.”
In its comment letter on the proposal filed in March, CUNA generally supported the proposal due to its minimizing the impact of regulatory burden on small creditors.
Specifically, the rule: