The CFPB’s Final Section 1071 Rule on Small Business Data Collection: What You Need to Know

The Consumer Financial Protection Bureau has issued its long-awaited final rule to implement Section 1071 of the Dodd-Frank Act. Section 1071 amended the Equal Credit Opportunity Act to require financial institutions to collect and report certain data in connection with credit applications made by small businesses, including women- or minority-owned small businesses. Although the final rule will be effective 90 days after it is published in the Federal Register, it contains a tiered compliance date schedule, with an earliest compliance date of October 1, 2024 for financial institutions that originate the most covered credit transactions and later compliance dates for institutions with lower transaction volumes.

In this webinar, we will take a close look at the final rule’s data collection requirements and consider their implications for fair lending risk management. Topics will include:

• Which “financial institutions” are covered
• Who is a “small business” and what is a “covered application”
• Which types of credit transactions are covered
• What are the data points that must be collected and reported
• What are the restrictions on employee and officer access to data
• What are the compliance dates and what does the CFPB’s grace period policy statement provide
• What is the outlook for CFPB supervision and enforcement of the final rule, including the CFPB’s statement on supervisory and enforcement practices
• What operational issues should be considered in implementing the final rule
• What are the final rule’s implications for fair lending risk management
• What are the similarities to, and differences from, the Home Mortgage Disclosure Act data collection and reporting requirements

We will be joined by special guest David Skanderson, Vice President at Charles River Associates.

This program is approved for 1.0 CLE credits in CA, NJ, & NY. Uniform Certificates of Attendance will be provided for the purpose of seeking CLE credit in other states. Please note: CLE credit in the following states will not be available: NV and PA.

Please register at least two days before the webinar(s). Login details will be sent to all approved registrants. For more information, contact questions@ballardspahr.com.