During last week's Congressional Visit, several Texas community bankers and IBAT staff members had an hour-long meeting with Consumer Financial Protection Bureau (CFPB) Director Richard Cordray. The meeting, arranged by Texas Department of Banking Commissioner Charles Cooper, was an opportunity for Texas community bankers to express their thanks for the recent interim final rule that greatly expanded the number of small bank creditors able to serve rural and underserved markets. The participants also addressed the need for additional clarification on this rule and a host of other issues.
Commissioner Cooper and IBAT President and CEO Chris Williston were joined by IBAT Chairman Rogers Pope, Jr. from Texas Bank and Trust, John Jay from Roscoe State Bank, Brad Tidwell from Citizens National Bank, Christopher Doyle from Texas First Bank, Cliff McCauley from Frost Bank and Kelly Goulart from IBAT.
Discussions included a request to clarify the two-year look-back period for a small creditor to qualify as serving a rural or underserved area, ability-to-repay challenges for small business owners and ranchers, and the scope of "Know Before You Owe" (TRID). Director Cordray was especially appreciative of the firsthand experiences of Texas community bankers and promised serious consideration of the issues raised.
Following the meeting last Thursday, the CFPB sent a letter to various trade groups announcing that in late July it will begin a process that could amend the "Know Before You Owe" rules. While it is unclear exactly what changes might be considered, the process itself could bring much-needed clarification to the rules.
"It was a very informative and positive meeting, and Director Cordray was engaged and receptive to the feedback our bankers provided," said Williston. "We want to express our sincere appreciation to Commissioner Cooper for laying the groundwork to make this meeting possible. He was the one who really made it happen."
Staff contact: Kelly Goulart, firstname.lastname@example.org, 512-275-2231