CFPB launches advisory opinion program

by Loran Jackson, NAFCU Compliance Blog

Welcome to the shortest day of 2020! Today marks the winter solstice and the beginning of a new season. And speaking of the start of something new, let’s take a quick look at the CFPB’s new advisory opinion program.

Earlier this month, the CFPB published its advisory opinions (AO) policy. Under the Dodd-Frank Wall Street Reform and Consumer Protection Act (Dodd-Frank Act), the CFPB is required to issue guidance implementing federal consumer financial law. Providing clear and useful guidance to credit unions and the entire financial services industry is a large part of the CFPB’s role. NAFCU has shown support for an AO program and asked for the opinions to be made publicly available to ensure they are easily accessible.

In its June announcement, the CFPB explained that the program allows credit unions and other financial institutions to submit requests for additional clarity on regulations. The bureau will provide public responses to requests on certain topics that meet the program’s priorities, which include:

  • providing consumers with timely and understandable information to make responsible decisions;

 

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