CFPB

The CFPB has finalized a data collection rule for lenders that extend credit to small businesses. The regulations aim to find patterns in small business lending that enhance CRA initiatives and make lending practices more equitable. However, trade groups like the ICBA and the CUNA have concerns that the additional burdens of compliance could impede CFIs’ ability to make as many loans as they do. We explain what CFIs should be aware of as this issue unfolds.

As open banking becomes more popular, the CFPB is working to establish standards for data sharing, assisted by FDX. CFIs should actively watch how things play out.

Even if your institution isn't required to comply with the new Personal Financial Data Rights rule, preparing for open banking is essential. As consumer demand for data sharing grows, adopting secure digital interfaces will help you stay competitive and meet evolving expectations.

Overdraft fees provided almost $33B in income for financial institutions in 2021. This was especially important in a low-interest rate environment. Yet, consumers are pushing back on these fees and neobanks have responded by providing accounts without these fees. Should community financial institutions eliminate these fees to stay competitive?