April 25, 2012

Cordray details CFPB focus for CUs

4-24-12 NAFCU webcast with Richard Cordray, CFPB
CFPB Director Richard Cordray (above, flanked by Carrie
Hunt, NAFCU's general counsel and vice president of
regulatory affairs, and Fred Becker, president and CEO)
talked to participants of NAFCU's webcast about the bureau's
responsibilities and its work to carry out its mandate under
the Dodd-Frank Act. – NAFCU photo

April 25, 2012 – Nearly 600 credit union representatives signed up to participate in NAFCU's webcast yesterday featuring Richard Cordray, director of the Consumer Financial Protection Bureau, who talked about the CFPB's goals and its relationship with credit unions.

Cordray was appointed to the CFPB director post Jan. 4. The agency has responsibility for all federal regulations affecting consumer protections in financial services. While the CFPB has examination and enforcement authority over only those institutions with more than $10 billion in assets (that includes the three largest credit unions), its rules apply to all federally insured institutions, regardless of asset size.

The CFPB has rolled out numerous initiatives since its inception last year to carry out its mandate under the Dodd-Frank Act. It is working to draft a proposed rule by July on combined mortgage disclosures under the Truth in Lending Act and Real Estate Settlement Procedures Act. It has also released a draft disclosure sheet for universities and colleges to use in explaining the costs of student loans and a model periodic statement for use by credit card issuers.

The bureau is also looking at mortgage servicing standards, beginning to implement its authority to exercise supervision of non-federally insured service providers and has set up a consumer complaint system that, so far, takes complaints related to credit cards, financial institution accounts, mortgages, consumer loans and student loans.

Tuesday's webcast was provided free to all credit unions – federal and state-chartered – regardless of membership in NAFCU. It will remain available for one year as an on-demand webcast.