The Fifth Circuit Court of Appeals granted IBAT/TBA/ICBA/ABA’s request to delay compliance dates for implementation of data gathering and reporting under 1071 rules. The outcome of the appeal and the duration of time before it is decided will, ultimately, determine when new compliance dates would be applicable.
Chairman French Hill (R-AR) of the House Financial Services Committee introduced his own rollback of Section 1071 of the Dodd-Frank Act, the Small LENDER Act. Hill’s legislation would exempt from the rule any financial institution that made fewer than 500 credit transactions for businesses with less than $1,000,000 in gross annual revenues in the previous two years. An aide to Chairman Hill said he further supports full repeal of Section 1071.
Russell Vought took over as acting head of the Consumer Financial Protection Bureau (CFPB) on Friday, following his confirmation as Director of the U.S. Office of Management and Budget. From Chairman French Hill: “Looking forward to working with OMB Director Vought to restore Americans’ faith in our financial institutions. It’s time to curb the power of this unaccountable agency and place the CFPB under the Congressional appropriations process and turn it into a bipartisan commission.”
On Friday, the Treasury Department announced that Rodney Hood would take over as Acting Comptroller of the Currency. Hood succeeds Michael Hsu, who held the role since 2021. He previously served as the Chairman of the National Credit Union Administration in the first Trump administration.
Following the mistaken publication of his obituary, Mark Twain once famously wrote, “The reports of my death are greatly exaggerated.” On Friday night, Elon Musk declared the death of the Consumer Financial Protection Bureau – though no one is entirely sure what that means. While new leadership at the regulator can affect rulemaking and enforcement, it will take action by Congress if the administration wants to see the rogue regulator dismantled or subject to greater accountability by Congress.
Upon arrival of DOGE employees at the CFPB, the bureau’s employee union issued a press release saying, “CFPB Union members welcome our newest colleagues and look forward to the smell of Axe Body Spray in our elevators.” No, we did not make this up.
