Statement by TBA CEO Chris Furlow on release of CFPB’s new sec. 1071 Final Rule

Texas Bankers Association and MDI Rio Bank filed the original legal

challenge to the "suffocating" Biden-Chopra Section 1071 Final Rule

"Small business lending is the lifeblood of Texas community banking. The Biden-Chopra version of 1071 would have suffocated small business lending and burdened community banks with more unnecessary reporting requirements.

From day one of our original lawsuit, we argued that taking three pages of legislation and turning it into 888 pages of regulation was an administrative power grab by the Biden CFPB and constituted gross government overreach.

We are grateful to the Trump Administration and Acting Director Vought for issuing a new Section 1071 final rule that prioritizes the law and common-sense over political agendas.

Texas Bankers will continue to work with Congress to eventually repeal Section 1071 altogether."

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The Texas Bankers Association along with Rio Bank, a community bank and minority depository institution (MDI) based in McAllen, Texas, were lead plaintiffs in the original 2023 lawsuit against the Biden Administration's Sec. 1071 small business data collection rule. TBA's co-plaintiff in the case, the American Bankers Association, estimates the lawsuit has help save over $6.8 billion in implementation compliance costs.