CFPB Student Scorecard should focus on consumer benefits, CUNA says

March 30, 2015
WASHINGTON (3/31/15)--CUNA supports the Consumer Financial Protection Bureau's (CFPB) plan to create a Safe Student Account Scorecard as a tool for colleges and universities to ensure that financial product offerings marketed to their students are "superior to those generally available," the trade association said in a March 30 comment letter to the bureau.

However, CUNA also said that the proposal could be improved if it included transparency to the students regarding the decision the educational institution ultimately reaches.

CUNA believes that student access to that information will help ensure "the educational institutions are in fact basing their selection on what is in the students' best interests and not on other factors, such as financial incentives."

CUNA also urged the bureau to clarify that the optional scorecard would be intended to assist educational institutions in choosing partners, and that the scorecard will not establish any minimum standards. The letter also questioned whether the information addressed in the CFPB's draft scorecard could be better delivered through bureau guidance.