On a mostly party line vote, the House Financial Services Committee approved a measure to create a new agency to regulate consumer financial products and CUNA and NAFCU expressed concern about the bill.

The measure, which passed 39-29, includes a partial exemption for credit unions from being subject to examination by the Consumer Financial Protection Agency and the trades are pushing for a broader exemption. There is also concern about a possible residual effect on credit unions of an amendment mandating that national banks comply with state laws, even if they are tougher than federal laws and regulations, unless their federal regulator determines that the state law or regulation places the institution at a competitive disadvantage against state-chartered institutions.

All of the Democrats on the panel supported the measure except Reps. Travis Childers (D-Miss.) and Walter Minnick (D-Idaho). Rep. Mike Castle (R-Del.) was the only member of his party on the committee who supported it.

Complete your profile to continue reading and get FREE access to CUTimes.com, part of your ALM digital membership.

  • Critical CUTimes.com information including comprehensive product and service provider listings via the Marketplace Directory, CU Careers, resources from industry leaders, webcasts, and breaking news, analysis and more with our informative Newsletters.
  • Exclusive discounts on ALM and CU Times events.
  • Access to other award-winning ALM websites including Law.com and GlobeSt.com.

© 2024 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.