U.S. Rep. Alex Mooney (R-WV) Wednesday introduced a bill this week in the U.S. House of Representatives that would require the Consumer Financial Protection Bureau (CFPB) to employ a more rigorous cost-benefit analysis.
His bill — the Transparency in Consumer Financial Protection Bureau (CFPB) Cost-Benefit Analysis Act (H.R. 7412) – seeks to better weigh the costs of implementation and compliance with the benefits of a regulation.
“It is long past time for the Consumer Financial Protection Bureau to adhere to a rigorous and transparent cost-benefit analysis,” Mooney said.
The National Association of Federally-Insured Credit Unions (NAFCU) voiced its support for the bill.
“NAFCU applauds Representative Mooney’s leadership on ensuring transparent evaluation on regulations set forth by the CFPB,” NAFCU President and CEO Dan Berger said. “The Transparency in CFPB Cost-Benefit Analysis Act will ensure the Bureau is held to the same standard as other agencies when reviewing the cost-benefit analysis for its proposed rules. While credit unions understand the need for appropriate and balanced rulemaking, it’s important for regulators to understand the overall impact, whether, through compliance costs or the upshot on competition, these rules would have on financial institutions.”
NAFCU will continue to work closely with Congressional leaders and the CFPB to ensure unnecessary regulations on the industry do not burden credit unions.