Small Business Lending Collection and Reporting Webinar 2021 | Professional Bank Services | 27 October 2021 | Webinar

A two-hour webinar that reviews the CFPB’s proposed rule that implements Section 1071 of the Dodd-Frank Act.

Section 1071 of the Dodd-Frank Wall Street Reform and Consumer Protection Act requires the Consumer Financial Protection Bureau (CFPB) to adopt regulations governing the collection of certain data regarding women-owned, minority-owned, and small businesses. This section is intended to facilitate enforcement of the fair lending laws, as well as enable the government and industry to identify needs and opportunities for such businesses.

On September 1, 2021, the CFPB issued a proposed rule to implement these changes and require covered financial institutions to collect and report to the CFPB data on applications for credit for these types of loans. The almost 1,000 page notice is detailed and complicated, and includes numerous additional rules and clarifications to existing rules and concepts. This rule will require significant training to business/commercial lenders who already struggle with existing compliance requirements or insist there are no compliance requirements for business/commercial loans. The rule specifically prohibits loan officers from encouraging applicants to skip the page that asks for information.

This webinar will review the CFPB’s proposed rule. While this is a proposal and there may be some revisions, it is important for financial institutions to be aware of the potential future requirements. Reviewing this rule for non-HMDA reporters will be especially important, as the proposed rule incorporates certain concepts from Regulation C, the regulation that implements the Home Mortgage Disclosure Act.

Here’s what you’ll learn:
• Coverage and Definitions
- “Covered” financial institution
- “Covered” applications
-“Small business”, including what is “minority-owned” and “women-owned”
• Data Points, including, but not limited to, information regarding the:
- Application (e.g., identifiers, application date, action taken, denial reasons)
- Pricing (origination fees; initial annual charges)
- Credit (type, purpose)
- Business (census tract; gross annual revenue)
- Demographics and ownership status of the principal owners
• “Reasonably designed to obtain a response” procedures
• Reporting requirements
• Recordkeeping
• Limits on certain employees’ access to the information (“firewall”)
• Proposed Effective and Compliance Dates

Format/instructional Method: Group Internet Based
An online presentation and any additional supplemental materials, as applicable, will serve as the basis of the presentation. You will have the option to stream the audio through your computer or dial-in using a telephone number/PIN. Ample time will be dedicated to taking questions from attendees. Be sure to submit your questions during the webinar, as we are unable to offer telephone or email support after the presentation.

Appropriate staff to attend would include any persons involved with business and commercial lending, including compliance officers, loan officers, loan processors, and audit.

• Program Level: Intermediate
• Prerequisite: Basic Knowledge of Lending Compliance
• Advanced Preparation: None
• Delivery Method: Group Internet Based
• Field of Study: Specialized Knowledge

2021 Speaker

Anetria Cohen
Vice President, ProBank Austin

2021 Sponsor

• CPE