AFSA joined with the National Association of Industrial Bankers, the Utah Bankers Association, and the Nevada Bankers Association in a letter to all Senators in opposition to S. 3538, the misnamed “Close the Shadow Banking Loophole Act,” introduced at the end of last year. The associations explained that the bill would reduce credit and financing options for consumers and small businesses.
The letter emphasized that the bill would eliminate industrial loan companies (ILCs), which were intentionally created via federal statute, not the result of a “loophole.” The associations wrote, “ILCs are among the safest and soundest banks in the U.S. financial system; are well regulated by federal and state banking agencies; and comply with all safety and soundness, operational, lending, data privacy, and consumer protection laws and regulations. ILCs are very important to the customers they serve and represent only 25 institutions and one percent of domestic banking assets.”
The associations further clarified, “Opposition to ILCs comes from some incumbent financial institutions looking and given the absolute lack of historic safety and soundness concerns, this raises some very troubling anti-competitive concerns that would have the impact of stifling competition and innovation in the provision of banking services to consumers. These institutions are pushing a false narrative that ‘Big Tech’ will use the ILC charter to access the insured depository sector of financial services, creating systemic risks to the financial system and potentially anti-consumer behavior.”
AFSA asked the Senators to oppose S. 3538.
AFSA joined with the National Association of Industrial Bankers, the Utah Bankers Association, and the Nevada Bankers Association in a letter to all Senators in opposition to S. 3538, the misnamed “Close the Shadow Banking Loophole Act,”… Read the rest
Yesterday, a bipartisan group of Members of Congress sent a letter to the Consumer Financial Protection Bureau (CFPB) to express their concerns about a CFPB nonbank procedural rule. These eight members, many of whom serve on the House Financial… Read the rest
The second of six releases that make up Alfa Systems 6, a breakthrough iteration of the Alfa Systems software platform, sets a new standard for excellence in US auto finance originations.
Alfa, a pioneer in technology for automotive finance,… Read the rest
AFSA’s State Government Affairs team recently sent a comment letter to the New Jersey General Assembly regarding NJ A1971 and S332 on collection and disclosure of personal data by certain entities. In the letter AFSA raises concerns … Read the rest
AFSA’s State Government Affairs team sent a comment letter to the Massachusetts Office of Attorney General (OAG) on the proposed regulations related to Unfair and Deceptive Fees. In the letter, AFSA highlights concerns with the proposed… Read the rest
AFSA Chief Economist Tim Gill has joined the prestigious The Wall Street Journal’s longstanding Economic Forecasting Survey panel. The panel consists of approximately 75 economists from academia, financial institutions, consulting… Read the rest
This week the Small Business Review Panel issued its “Final Report” on the CFPB’s Fair Credit Reporting Act (FCRA) proposals. This is part of the Consumer Financial Protection Bureau’s rulemaking process. The Small Business Regulatory … Read the rest
Welcome back! This week, both the House of Representatives and the Senate are in session following their holiday break. Below are some highlights from the first week back:
The State of the Union Marches On … House Speaker Mike Johnson (R-LA)… Read the rest
On January 2, AFSA’s State Government Affairs (SGA) team released its latest white paper. This month’s white paper provides a 2024 State Legislative Session preview and 2023 year-in review.
In 2023, California and D.C. addressed … Read the rest
Last week, in a letter to the Consumer Financial Protection Bureau, AFSA reiterated support for innovation in the financial services industry but cautioned against overly restrictive use limitations. The CFPB’s proposed rulemaking to… Read the rest
