The Consumer Financial Protection Bureau (CFPB) recently released a proposed rule to scale back the 2023 final small business lending data collection rule (2023 final rule). The proposed rule would significantly narrow the scope of the 2023 final rule by redefining “small business,” limiting the types of transactions and institutions covered by the rule, removing several discretionary data points, and replacing a tiered compliance schedule …
Revising Reg B: CFPB Proposes Changes to Disparate Impact, Discouragement and Special Purpose Credit
On Thursday, November 13, 2025, the Consumer Financial Protection Bureau (CFPB) issued a notice of proposed rulemaking (NPRM) to amend provisions of Regulation B (12 CFR Part 1002), which implements the Equal Credit Opportunity Act (ECOA). The NPRM proposes to modify Regulation B by: Removing language supporting disparate-impact liability under the ECOA. Narrowing the prohibition on discouragement of applicants or prospective applicants. Establishing new standards …
CFPB Faces Uncertain Future as Funding Shortfall Looms
On November 10, the Consumer Financial Protection Bureau (CFPB) informed the US District Court for the District of Columbia that it expects to run out of funds in early 2026. The CFPB filed the Notice of Potential Lapse in the ongoing National Treasury Employees Union v. Vought lawsuit, in which the union representing CFPB employees is challenging the Trump administration’s efforts to shut down the agency. …
Court Enjoins CFPB’s Open Banking Rule Pending New Rulemaking
On October 29, 2025, the US District Court for the Eastern District of Kentucky issued a preliminary injunction that prevents the Consumer Financial Protection Bureau (CFPB) from enforcing its Personal Financial Data Rights (PFDR) final rule until the CFPB completes its new rulemaking. The injunction, therefore, halts compliance deadlines that would have required certain financial institutions to implement new data-sharing standards as early as June …
CFPB Rescinds Amendments to Confidentiality of Nonbank Supervisory Proceeding Outcomes
The Consumer Financial Protection Bureau (CFPB) announced a final rule that rescinds Biden-era amendments made to its procedures for supervisory designations of nonbanks. The amended rule reestablishes that decisions and orders in contested supervisory designation proceedings held pursuant to section 1024(b)(7) of the Consumer Financial Protection Act (CFPA) are confidential. This change effectively reinstates the confidentiality standard for supervisory designation proceedings first established in a …
CFPB Narrows Its Supervision of Nonbanks
The Consumer Financial Protection Bureau (CFPB) recently proposed a rule that would likely limit the nonbanks it supervises to those whose activities “pose a high likelihood of significant harm to consumers” in connection with offering or providing consumer financial products or services. The CFPB’s rule would more narrowly construe a provision of the Consumer Financial Protection Act that the CFPB has relied on to supervise …
Executive Order Guarantees Efforts Against Debanking Will Continue
The White House recently issued an executive order (EO) aimed at combatting “politicized or unlawful” debanking. Among other requirements, the EO requires “Federal banking regulators” and the Small Business Administration (SBA) to eliminate from their guidance and other materials the use of reputation risk that could result in debanking and take remedial action against past instances of debanking. This EO is the latest in a …
CFPB Reconsiders Section 1033 Rule Signaling Potential Overhaul of Personal Financial Data Rights Framework
The Consumer Financial Protection Bureau’s position on Section 1033 continues to evolve under the Trump administration. Following a request to vacate the 2024 Personal Financial Data Rights rule (PFDR), on July 29, 2025, the CFPB changed its position, announcing it would initiate a new rulemaking to reconsider the PFDR. On August 22, the CFPB published an advance notice of proposed rulemaking (ANPR) seeking public comment …
Open Banking Is on Ice as CFPB Seeks to Toss Its Own Rule
Cooley lawyers Obrea Poindexter and Palmer Quamme co-authored an article for Law360 about the Consumer Financial Protection Bureau’s bid to rescind its own rule, implementing Section 1033 of the Dodd-Frank Act concerning personal financial data rights. Read more ›
CFPB Issues Interim Final Rule Extending Small Business Lending Rule Compliance Deadlines
The Consumer Financial Protection Bureau (CFPB) recently issued an interim final rule delaying compliance deadlines for a second time for its small business lending data collection rule, which amended Regulation B pursuant to Section 1071 of the Dodd-Frank Act. The interim final rule extends compliance deadlines for the small business lending rule by roughly one year across all origination tiers. The CFPB states in the …