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Consumer Financial Protection Bureau Director Richard Cordray on Tuesday told lawmakers his agency will focus on ensuring consumers have the information they need, that service providers operate within the law and that the CFPB's activities do not result in duplicative regulation of providers, including credit unions.

In other comments, Cordray said getting input from credit unions and community banks is a high priority for the bureau. And with a director in place, non-banks will now be made to play on a level playing field.

Cordray was testifying before the House Subcommittee on TARP, Financial Services, and Bailouts of Public and Private Programs in a hearing titled "How Will the CFPB Function Under Richard Cordray?" Panel Chairman Patrick McHenry, R-N.C., helped set the tone, describing the CFPB's announcement of cooperation with the Federal Trade Commission as encouraging. But he said he thought the way in which Cordray was appointed was unfair and reiterated he wants to see CFPB spending subject to appropriations.

The hearing was lengthy but cordial. Cordray deflected questions about what may happen with the bureau's regulatory apparatus if his appointment is successfully challenged, reiterating that is an issue for others to decide. But he said the CFPB will move forward to fulfill its mandate.

As to what that mandate entails, he responded it does not involve setting prices for products or supervising the debit interchange fee cap.

In other responses to lawmakers' questions, he said:

• The CFPB has about 750-800 employees (give or take those detailed from other agencies) and eventually will have between 1,200 to 1,500.
• The bureau intends to establish small-business review panels, including one to launch within the next couple months on the combined mortgage disclosures under the Truth in Lending Act and Real Estate Settlement Procedures Act.
• The bureau is looking at having special advisory councils for community bank and credit union groups. (Prodded by Rep. Trey Gowdy, R-S.C., he said the bureau will "consider" establishing a special council focused on the payday industry.)
• As to the bureau's handling of consumer complaints – expressions of dissatisfaction vs. claims of potential violations – Cordray doesn't want to be unfair but does want to ensure transparency.
• On concerns regarding Servicemembers Civil Relief Act violations, particularly instances of foreclosures against active duty personnel, those (in Cordray's view) were likely due to a lack of understanding of the law, not malicious intent.

Cordray also gave kudos to Holly Petraeus, noting she has been invaluable in helping CFPB staff understand the unique set of issues faced by military service members. These include, among others, debt collections and their impact on service members' security clearances, their ability to sell their homes when they must relocate and access to GI bill education funding.

In written testimony, he also noted the credit card disclosure sheet the bureau is testing with Pentagon FCU. He told McHenry this is not meant as a form of regulation but is based on a market trend. He said it offers an example of how to ensure effective disclosures.

NAFCU is keeping up contact with CFPB officials and staff on regulatory matters affecting credit unions. It will continue to weigh in on mortgage and credit card disclosures, handling of consumer complaint data and other bureau initiatives.