{"id":286428,"date":"2026-04-30T16:44:26","date_gmt":"2026-04-30T20:44:26","guid":{"rendered":"https:\/\/ncrc.org\/?p=286428"},"modified":"2026-04-30T16:49:00","modified_gmt":"2026-04-30T20:49:00","slug":"cfpb-section-1071-final-rule-a-massive-step-backward","status":"publish","type":"post","link":"https:\/\/ncrc.org\/cfpb-section-1071-final-rule-a-massive-step-backward\/","title":{"rendered":"CFPB Section 1071 Final Rule A Massive Step Backward"},"content":{"rendered":"

The Consumer Financial Protection Bureau\u2019s (CFPB) final rule today is a massive step backward from the CFPB\u2019s own 2023 rule and from Congress\u2019s intent in enacting Section 1071.<\/span><\/p>\n

Just three years ago, the CFPB finalized a rule that would have provided transparency into the small business lending market, with a 100-loan reporting threshold<\/span>, <\/b>a small business definition to cover businesses with revenues of less than $5 million in assets<\/span> and a more complete dataset to evaluate fairness and access.\u00a0<\/span><\/p>\n

This new rule reverses that progress. By raising the threshold to 1,000 loans, <\/span>changing the definition of a small business to cover those with revenues of less than $1 million<\/span>, <\/b>excluding merchant cash advance<\/span>s and<\/span> agricultural lending and eliminating key data points such as pricing, the bureau is attempting to gut transparency and the usefulness of the data.<\/span><\/p>\n

The rule also removes critical demographic data, including disaggregated race and ethnicity and information on LGBTQI+ business owners, further obscuring disparities in access to credit.<\/span><\/p>\n

A National Community Reinvestment Coalition (NCRC) analysis showed the rule will reduce the number of covered banks from roughly 1,700\u20131,900 institutions to just 167\u2013176, a drop from about one-third of banks to roughly 3.6%. This means most <\/span>small business<\/span> lenders will no longer be subject to public reporting, creating significant blind spots in the market.<\/span><\/p>\n

“The CFPB is prolonging a lack of transparency that communities have already waited 16 years to get,\u201d <\/span>said NCRC President and CEO Jesse Van Tol<\/b>. \u201cThe rule today will make it significantly harder to detect patterns of discrimination and reveal the truth behind who is getting credit and who is not.”\u00a0\u00a0<\/span><\/p>\n","protected":false},"excerpt":{"rendered":"

The Consumer Financial Protection Bureau\u2019s (CFPB) final rule today is a massive step backward from the CFPB\u2019s own 2023 rule and from Congress\u2019s intent in enacting Section 1071.<\/p>\n","protected":false},"author":951,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"_angie_page":false,"content-type":"","_uag_custom_page_level_css":"","_monsterinsights_skip_tracking":false,"site-sidebar-layout":"default","site-content-layout":"","ast-site-content-layout":"default","site-content-style":"default","site-sidebar-style":"default","ast-global-header-display":"","ast-banner-title-visibility":"","ast-main-header-display":"","ast-hfb-above-header-display":"","ast-hfb-below-header-display":"","ast-hfb-mobile-header-display":"","site-post-title":"","ast-breadcrumbs-content":"","ast-featured-img":"","footer-sml-layout":"","ast-disable-related-posts":"","theme-transparent-header-meta":"default","adv-header-id-meta":"","stick-header-meta":"default","header-above-stick-meta":"","header-main-stick-meta":"","header-below-stick-meta":"","astra-migrate-meta-layouts":"set","ast-page-background-enabled":"default","ast-page-background-meta":{"desktop":{"background-color":"","background-image":"","background-repeat":"repeat","background-position":"center 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Consumer Financial Protection Bureau\u2019s (CFPB) final rule today is a massive step backward from the CFPB\u2019s own 2023 rule and from Congress\u2019s intent in enacting Section 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