Tuesday, January 14, 2014

Bills would allow counties labeled non-rural by new regulator of banks to petition for rural status

Senate Minority Leader Mitch McConnell (R-Ky.) introduced legislation Tuesday that "would give rural counties in Kentucky a voice when the Consumer Financial Protection Bureau, or CFPB, has incorrectly labeled them as 'non-rural'," McConnell said in a speech.

"My bill would allow counties that have been improperly designated as ‘non-rural’ to petition the CFPB with additional local information to reconsider their status in order to ensure that rural communities, such as those in Eastern Kentucky, have the access to credit they need to grow their economy," McConnell said. Rep. Andy Barr (R-Ky.) introduced the same legislation in the House. (Read more)

The CFPB announced in May it was delaying for at least two years its redefinition of "rural counties" to "study whether the definitions of 'rural' or 'under-served' should be adjusted and to work with small creditors to transition to other types of products, such as adjustable-rate mortgages,” Stephen Koff reported for the The Plain Dealer in Cleveland.

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