12.21.17

Rounds Statement on CFPB Decision to Delay HMDA Enforcement

WASHINGTON—U.S. Sen. Mike Rounds (R-S.D.), a member of the Senate Banking Committee, today issued the following statement on the Consumer Financial Protection Bureau’s (CFPB) announcement to delay enforcement of the Home Mortgage Disclosure Act:

“As the Senate sponsor of the Home Mortgage Disclosure Adjustment Act, I am keenly aware of the burden that HMDA data reporting requirements pose for small banks and credit unions in South Dakota. Today’s decision to delay penalties for the collection of HMDA data will give the Senate enough time to consider the Senate Banking Committee’s economic growth legislation, which includes my provision that would provide a long-term fix for this problem. This will allow banks to focus on servicing consumers rather than on complying with unneeded federal reporting regulations. I thank Acting CFPB Director Mulvaney for his leadership on this issue and look forward to getting our economic growth legislation signed into law.”

Today, the CFPB announced it will not require HMDA data resubmission unless errors are material, nor will the CFPB assess penalties with respect to errors for data collected in 2018 and reported in 2019. The Bureau also announced it intends to open a rulemaking to reconsider changes made to the Home Mortgage Disclosure Act by the Dodd-Frank Act. Senator Rounds’ Home Mortgage Disclosure Adjustment Act, S. 1310, provides an exemption from new HMDA data reporting requirements for small financial institutions that originate 500 closed-end mortgage loans or 500 open-end lines of credit.

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