CUNA wrote to newly confirmed Bureau of Consumer Financial Protection Director Kathy Kraninger Thursday to highlight key consumer protection priorities for credit unions. CUNA also extended an offer to provide any necessary feedback, data and expertise.
“Consumers lose when one-size-fits-all rules force credit unions to pull back safe and affordable options from the market, pushing consumers into the arms of entities engaged in the very activity the rules were designed to curtail,” the letter reads. “Under your leadership, the Bureau has an opportunity once again to examine and, where necessary, modify its approach to regulation in a manner that ensures it's fulfilling its consumer protection mission without impeding the availability of safe and affordable financial products and services.”
CUNA strongly urged the bureau to closely monitor the impact its rules have on credit unions and their members, and to appropriately tailor regulations to reduce burdens or exempt credit unions entirely, as appropriate.
“Congress very clearly conveyed to the bureau the authority to exempt any class of covered entities from its rules. CUNA has strongly urged the bureau to use this authority to help protect credit union members from the many problems associated with creating one-size-fits-all rules that are inappropriate for the different not-for-profit structure of credit unions,” the letter reads. “Credit unions and credit union service organizations (CUSOs) should receive appropriate exemptions from the Bureau’s regulatory requirements.”
CUNA also offered several recommendations be incorporated into bureau rulemakings, including: