The Consumer Financial Protection Bureau published a final rule to implement Section 1071 small-business reporting requirements that includes strong community bank exemptions, as advocated by ICBA.
Details: Aligning with ICBA’s repeated calls for policymakers to exempt community banks from the data collection requirements, the final rule:
-
Exempts institutions that originate fewer than 1,000 covered small-business loans per year.
-
Defines small businesses as those having gross annual revenues of $1 million or less.
-
Exempts agricultural loans.
ICBA View: In a national news release, ICBA President and CEO Rebeca Romero Rainey:
-
Commended the administration for heeding community banker concerns with 1071 and making needed improvements to help mitigate its impact.
-
Noted that ICBA continues to strongly oppose a full exemption for Farm Credit System entities without a complete exemption for community banks under $10 billion in assets.
-
Continued ICBA’s call for Congress to advance legislation to address the 1071 statute.
Background: Section 1071 requires lenders to collect and report data on credit applicants, including the race, sex, and ethnicity of the principal owners as well as gross annual revenue.
Latest on Legislation: The House Financial Services Committee this month advanced Chairman French Hill’s (R-Ark.) ICBA-advocated Small LENDER Act (H.R. 941) to enact expanded community bank exemptions. ICBA also continues calling on Congress to advance the 1071 Repeal to Protect Small Business Lending Act (H.R. 976/S. 557), legislation advanced by the committee last year to repeal the statute that underlies the CFPB rule.
Key Issue: The Small LENDER Act and 1071 Repeal to Protect Small Business Lending Act are among the key issues community bankers lobbied on during this week’s ICBA Capital Summit.
Rule: https://public-inspection.federalregister.gov/2026-08494.pdf