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NAFCU urged lawmakers Tuesday to retain a measure in a 2016 appropriations bill that would require CFPB to complete a comprehensive study on the use and consumer impact of arbitration clauses before adopting a rule on them.

The study provision is an amendment from Reps. Steve Womack, R-Ark., and Tom Graves, R-Ga., added during mark-up by the House panel for a fair, comprehensive study of how arbitration clauses are used in consumer financial contracts. The study would look how arbitration clauses are used in practice and whether consumers really have access to the alternative to arbitration. It would also be informed by public comments.

NAFCU urged support for the measure in a letter sent jointly with 14 other trades from the financial, mortgage, technology and other sectors. It reflects concerns of industry as well as scores of lawmakers on the inadequacy of a study CFPB did in lead-up to its recently released outline addressing potential rulemaking in this area.

Some 80 members of Congress – from the House and Senate – called that study "fatally flawed" in a letter this June to bureau Director Richard Cordray.

NAFCU strongly supports fair dispute resolution but wants to ensure there would be no unintended consequences for credit unions because of overly broad reporting requirements. It is accepting input from its members on the CFPB outline until Dec. 11; see the Regulatory Alert (member only).