Demystifying the CFPB’s 1071 small business lending rule
Join two of Finastra’s in-house compliance experts (Geoffrey Schroder and Mike Fowdy) as they provide an overview of the in’s and out’s of the 1071 small business lending rule, and how it will impact your institution.
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LEGAL UPDATE: On May 16, 2024, the Supreme Court of the United States issued its long-awaited decision in the CFSA v. CFPB case, challenging the constitutionality of the CFPB’s funding. The Court found in favor of the CFPB (finding its funding constitutional). Preliminary injunctions issued by the Texas and Kentucky Federal district courts were framed to last until the constitutionality of CFPB funding was confirmed. With this question resolved, on May 17th the CFPB issued a notice of its intent to issue an interim final rule extending the small business data collection rule compliance deadlines. The CFPB’s interim final rule will require small business data collection under ECOA as of July 18, 2025 (Tier 1 financial institutions), January 16, 2026 (Tier 2 financial institutions), and October 18, 2026 (Tier 3 financial institutions). Voluntary data collection of all small business data is expected to be permitted 12 months prior to these required effective dates. Know more.
On March 30th the CFPB issued the long awaited ECOA small business lending rule implementing the requirements of Section 1071 of the Dodd-Frank Act. This final rule will dramatically impact small business lenders and will go into effect as early as October 2024 for some larger lenders. Join two of Finastra’s in-house compliance experts - Geoffrey Schroder and Mike Fowdy - as they provide an overview of the in’s and out’s of this small business lending rule and how it will impact your institution.
During this 60-minute webinar we will cover:
- The essential elements of the 1071 small business lending rule, including details around required data collection, reuse, firewalling and reporting, along with new required applicant disclosures.
- Examine some of the potential pitfalls and opportunities available to your institution posed by this new rule.
- Start to learn about Finastra’s plans to assist you in complying with all aspects of the final small business lending rule.
