ARLINGTON, Va.—The CFPB’s interim final rule broadening the availability of certain qualified-mortgage rule exceptions for small creditors that operate in rural or underserved areas should provide much-needed regulatory relief to credit unions and their members, stated NAFCU Monday in a comment letter to the Bureau.
The interim final rule implements important regulatory relief provisions within the Helping Expand Lending Practices in Rural Communities Act (HELP Rural Communities Act), stated NAFCU’s Alexander Monterrubio.
Monterrubio, NAFCU’s director of regulatory affairs, said that the interim final rule “is a substantial improvement from the rule’s previous requirement that a credit union ‘predominantly operate’ in rural or underserved areas.”
In his letter, Monterrubio also recommended the Bureau expand its definition of small creditor. “We continue to urge the Bureau to increase the origination limit even further in addition to raising the ‘small creditor’ asset threshold,” Monterrubio said.