NFIB Key Votes Overturning CFPB Rule for the 118th Congress
WASHINGTON, D.C. (Nov. 30, 2023) – The National Federation of Independent Business (NFIB), the nation’s leading small business advocacy organization, announced its support of S. J. Res. 32 the Congressional Review Act (CRA) resolution of disapproval for the Small Business Lending Under the Equal Credit Opportunity Act, as an NFIB Key Vote for the 118th Congress.
“The CFPB’s lending rule adds time-consuming paperwork burdens on small businesses and the community banks that lend to them,” said Adam Temple, Senior Vice President of Advocacy. “NFIB is concerned that the rule will be onerous for the small businesses applying for credit and for the small financial institutions that lend to small businesses. We strongly support this legislation and are hopeful that Congress will take action to alleviate the government burdens placed on the small business community.”
S.J. Res 32 would repeal the Consumer Financial Protection Bureau’s (CFPB) small business lending rule, commonly referred to as the CFPB 1071 rule. The rule requires financial institutions to compile, maintain, and submit small business lending data to the CFPB. Small business owners will be required to file increased paperwork on demographic information before being eligible for a loan.
According to an NFIB survey, 67% of all NFIB members use a small or regional financial institution for their credit needs and 17% use a medium-sized institution, demonstrating that small institutions are the preferred lenders of most small businesses.
NFIB previously sent a similar letter to members of the U.S. Senate supporting S.J. Res. 32.