Compliance Blog

Written by Steve Van Beek

On Thursday evening, the Senate Banking Committee announced a hearing (TheHill.com) for Richard Cordray - the nominee for Director of the Consumer Financial Protection Bureau.  The hearing is set for Thursday, August 4th at 2 p.m.    

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The CFPB announced that Round 3 of the Know Before You Owe project will be coming out shortly.  In the announcement the CFPB discusses how the past comments have influenced the process so far.

"Before we do, we wanted to share what we learned from your comments, and how they affected what you’ll see when we start Round 3.

• Clarifying “Cautions.” Many people found that simply stating “Cautions?” with the “Yes/No” answers was confusing and did not effectively communicate the intended message. Accordingly, “Cautions?” will be replaced with different language on the front page in Round 3 and we’ll see if that is more effective.

• Telling you more vs. keeping it simple. Commenters were divided over the benefits of greater itemization of fees versus a simpler, more concise format on the second page. In Round 3, we will continue to determine the appropriate level of detail of fee disclosures for consumers, fixing some of the problems identified from the feedback and testing.

• Important dates are, well, important. We heard from many that “Important Dates” should be moved to the front page, near “Date Issued.” In this round, we are going to see if that works better.

• Setting “Points” aside. We will test putting “Points” on its own subject line for better clarity, as many recommended."

NAFCU will continue our conversation with the CFPB throughout this process.  Feel free to share your concerns or comments with NAFCU or with the CFPB directly.  

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I wanted to take a quick second to welcome our newest member of the NAFCU Compliance team - Matt Snyder.  Matt is our new regulatory compliance counsel and we are glad to have him aboard.  

Have a great weekend everyone!