The National Association of Federally-Insured Credit Unions (NAFCU), along with 12 other industry trade associations, recently requested that the Consumer Financial Protection Bureau (CFPB) extend the period for its request for information regarding the small-business lending environment.
The asked for a 60-day extension, which would push the comment deadline from July 14 to Sept. 12.
“As you are aware, the RFI seeks a broad range of detailed information from individual businesses, consumers, third-party vendors, and financial institutions,” the group said in a letter to the CFPB. “As such, the identification and development of complete answers to the questions posed will require broad consultation within individual companies, which requires a significant amount of time.”
The CFPB is requesting information on the small-business lending marketplace, including what financial institutions are lending to small businesses and what products are offered. The bureau is preparing for future rulemaking mandated by the Dodd-Frank Act (Section 1071) on the issue.
Section 1071 of the Dodd-Frank Act would require financial institutions to collect and report information –- whether the business is a small business and women- or minority-owned –- and give this information to the CFPB.
“We believe that imposing a 60-day comment deadline will preclude the development of a sufficiently broad and complete factual record necessary to support effective policy action in an area that will have significant consequences for small businesses and the U.S. economy,” the letter said.
NAFCU is currently asking member credit unions for their input on this request for information. The association will use the feedback in preparing its own comment letter on the subject.