CBAI Urged CFPB to Exempt Community Banks from New Debt Collection Rules

February 18, 2014

In a recent comment letter, which was sent in response to an advanced notice of proposed rulemaking, CBAI urged the Consumer Financial Protection Bureau to recognize that community banks do not abuse consumers with unfair debt collection practices and to exempt community banks from any new debt collection rules.

Regulations already exist regarding fair debt collection practices. More rigorously enforcement of the existing rules against those who are breaking the existing rules is clearly what is needed. The CFPB should demonstrate that these rules are insufficient before proposing any new rules.

CBAI urged the Bureau to not increase the regulatory burden on community banks and unequivocally ensure that any additional debt collection regulation not “trickle down” and be applied to community banks by their prudential regulators. Read Comment Letter