Banking Law

A couple of recent posts by Anthony Demongone at NAFCU Compliance Blog are worth a read, regardless of your charter type. The first concerns (in part) the Office of Servicemember Affairs within the Consumer Financial Protection Bureau. The head of that office is Holly Patreus, wife of General David Patreus, currently head of US and NATO forces in Afghanistan, and someone who has "clout." Ms. Patreus served fair warning in recent testimony before Congress and in other public pronouncements that when it comes to consumer lenders trying to mess with members of the US military, she intends to man the barricades. Anthony points out some implications.

Her testimony is a good reminder for me to repeat something I mentioned before.  The existence of her office within the CFPB will shine a light on the intersection of servicemembers and financial services.  The SCRA will receive more attention. The DoD "MAPR" regulations will receive more attention.  Servicemembers now have a visible champion on the Hill, and those who feel aggrieved have a place to voice their complaint.

Anthony then links to some materials that supply guidance on the DoD regulations, the SCRA, and other pertinent matters. While some of the materials are addressed to credit unions, they should be useful to consumer lenders of all types.

Regardless of what bankers may think of the CFPB, it's a losing proposition to disregard the legitimate concerns of service members. All financial institutions would be well advised to pay attention to Ms. Patreus.

Today, Anthony discussed this week's congressional hearings on the impact of the Durbin amendment (regarding debit card interchange fees). He linked to a video by the NAFCU that runs tomorrow in select locations, and that is posted on Youtube. Even bankers, who spend a lot of time complaining about credit unions, ought to agree that its well done.

Remember the old proverb: "The enemy of my enemy is my friend." Occasionally, it's true.