|March 20, 2015|
CBA LIVE 2015: The Consumer Agenda – It's Here!
T-minus 3 days before you learn all things consumer —
their thoughts, their goals, their attitudes, and what speaks to their
souls. Sunny Florida awaits the arrival of the largest gathering of
retail banking executives this year. CBA LIVE 2015 marks our fifth
straight year of record attendance with nearly 1,300 registrants (and
counting), 579 of which are bankers. We are getting close to having as
many bankers attend as we had total attendees in the first year of the
conference. Over the course of three days, we have 205 speakers,
including 50 individuals from seven different government agencies, and
groundbreaking data releases from Gallup, on the mind of the consumer;
and CFSI, on financial health. Attendees will return to their banks
game-ready with the latest tools on the ever changing regulatory,
legislative, and technological landscape.
Last Minute CBA LIVE Tips:
CFPB Issues Policy Statement on Complaint Narratives
- Download the CBA LIVE app.
- Join the twitter discussion– remember, include the #CBALIVE in all your tweets.
- Bonus: Rate the most sessions in the app during CBA LIVE and win a signed football from Hall of Fame Coach Lou Holtz!
tip to the 10 member banks - Citizens, Wells, BB&T, IBERIA, First
Interstate, TCF, Sallie Mae, BMO, Discover, and Union - who applied for
the Joe Belew Award, which this year focuses on bank efforts to improve
financial education. We will announce the recipient Wednesday at CBA
- And, as always, leave that tie behind. CBA LIVE attire is business casual.
Thursday, the CFPB announced it will begin publishing unverified
complaint narratives from unidentified consumers. While we support the
Bureau's collection of complaint data to identify trends and understand
consumer concerns, we are disappointed by today's decision. The CFPB has
the ability to demonstrate trends, allow for an appeals process, and
normalize data—much like other regulators. Puzzlingly, they choose not
to use any of these illuminating mechanisms. Today's action does not
reflect the principles of accountability, transparency, and data-driven
decision making which the Bureau professes guides its work. This agency
can do better.
CFPB Spreads Its Wings – From Statutory Mandates to Discretionary Preferences
almost four years, the CFPB has grown from 58 employees (FY2011) to
1,443 employees (FY2014) – and we are told its not done yet. With most
of its statutory mandates completed, the Bureau's discretionary
priorities will start to take center stage in the coming months. Though
it has been working for years on these issues, the CFPB is now free to
make a major push this year on several critical areas, including:
Capitol Hill Update
- Payday Lending & Deposit Advance Products (DAP):
Prerule activity [referring to the Small Business Regulatory
Enforcement Fairness Act (SBREFA) process] is expected this quarter,
indicating a proposal is forthcoming.
- Prepaid Card Rules: A final rule is expected to come in the second half of 2015.
- Overdraft: Prerule activity is expected this summer.
- Debt Collection: Prerule activity is expected in the next few months.
Hill has been abuzz the first few months of the new Congress, and we
expect a similar flurry of activity in the coming weeks. Here are three
things to be on the lookout for:
- Cyber Security: Last
week, a draft bill addressing cyber-security was circulated. The
initial draft includes language that would require a minimal data
security standard and consumer notification within 30-days. In response
to the draft bill, CBA joined other financial services trades in sending
a letter that outlined concerns about the definition of covered entity,
the scope of preemption, the strength of the "reasonable security
measures" standard, the need to notify consumers of the origin of a
breach, and the importance of liability for the costs of a breach. We
expect the bill to reach the full House by mid-to-late April.
The House and Senate FY16 budgets released this week included several
provisions that impact CBA members. The House budget would subject the
CFPB to appropriations, while the Senate budget would allow for
modifications to the Dodd-Frank Act, and both budgets would require the
use of fair value accounting on legislation related to federal credit
- Regulatory Reform: The House Financial Services
Committee heard from community banks and credit unions this week on how
Dodd-Frank is impacting their ability to lend to consumers. Members of
the Committee have been encouraged to introduce legislation to address
these burdens, and Chairman Jeb Hensarling (R-TX) has agreed to consider
any bill having bipartisan support as early as next week. We expect the
Committee will mark up several bills next week which could include
efforts to expand the rural definition for CFPB purposes, eliminating
privacy notices, preventing duplicative regulations, and something on
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