1071 Case Breakdown

1071 Case Breakdown

Staying informed and compliant is key to a financial institution's success in our current, rapidly evolving, compliance landscape. One of the latest issues and arguably the most significant in the space is the CFPB‚Äôs section 1071 or the ‚ÄúSmall Business Lending Rule‚ÄĚ....

Bank Risks 2024

Bank Risks 2024

In 2024, financial institutions are navigating a landscape filled with both challenges and opportunities. The financial sector, constantly adapting to new regulations, technological shifts, and global economic changes, now faces a unique blend of challenges‚ÄĒthese...

KYC AML Compliance for Fintechs

KYC AML Compliance for Fintechs

Fintech companies stand at the forefront of innovation in the rapidly evolving financial technology landscape, offering services ranging from digital banking and payments to investment and lending platforms. As these companies redefine financial services, they also...

Navigating the Complexities of the Small Business Lending Rule: Why Compliance is Crucial for Financial Institutions

Navigating the Complexities of the Small Business Lending Rule: Why Compliance is Crucial for Financial Institutions

it is worth noting that the Revenue Based Finance Coalition (‚ÄúRBFC‚ÄĚ), a trade group comprised of non-bank commercial financing organizations filed a lawsuit against the CFPB on December 26th, 2023 in Florida. Federal district court as an additional challenge to the Small Business Lending Rule. This case focuses on the argument that because sales-based financing does not constitute ‚Äúcredit‚ÄĚ within the meaning of the Equal Credit Opportunity Act (ECOA) and Regulation B, the CFPB did not have the authority to regulate sales-based financing as ‚Äúcredit‚ÄĚ under the Rule. As shown by the summary above, navigating the complexities of this rule requires precision, insight, and a proactive approach. To safeguard your institution’s compliance and success, we recommend partnering with RADD LLC, a firm that specializes in Section 1071 planning services.

Navigating Compliance: Understanding Reporting Requirements for the 1071 Small  Business Lending Rule

Navigating Compliance: Understanding Reporting Requirements for the 1071 Small Business Lending Rule

The 1071 Small Business Lending Rule represents a significant step toward creating a more transparent and inclusive small business lending environment. While the reporting requirements may seem intricate, they play a crucial role in fostering fair lending practices.