Washington Report

Advocacy Updates from Washington D.C.

CFPB Director Testifies Before Congress

Last week, Consumer Financial Protection Bureau (CFPB) Director Kraninger provided her semi-annual report to Congress. Director Kraninger testified before the House Financial Services Committee and the Senate Banking, Housing, and Urban Affairs Committee to discuss current updates and developments at the Bureau.

Director Kraninger provided testimony on the CFPB’s new innovation policies that were recently announced and symposiums hosted by the Bureau on behavior economics, and defining “abusive practices or acts” under the Dodd-Frank Act. Additionally, Director Kraninger provided some insight on the qualified mortgage (QM) patch. She explained that the QM patch will expire in January 2021 and that the Bureau is working on a plan as the transition to end the QM patch is forthcoming. Director Kraninger also expressed that the Bureau is working to increase access to mortgages. One of the major topics also discussed was whether the Bureau is constitutional based upon its structure, and recently the Supreme Court has agreed to hear a case on the matter.

NAR is continuing to monitor updates and new developments from the CFPB.