Comments are due next week (Monday, July 31) about revised thresholds for reporting open-end lines of credit, proposed by the Consumer Financial Protection Bureau (CFPB), as noted in a summary posted by NASCUS today.
The summary notes that CFPB is looking for comments in two key areas:
- Whether or not the bureau should temporarily increase the open-end transactional coverage threshold. If so, whether to raise the threshold to 500 or to a larger or smaller number.
- Whether, if the bureau elects to increase the open-end transactional coverage threshold, it should do so for a period of two years or a longer/shorter period of time.
“The Bureau has engaged in industry outreach regarding the final rule and has been advised that the current open-end line of credit transactional threshold (less than 100 originated) is too low,” the NASCUS summary states. “As a result, the Bureau is now proposing to increase the exemption threshold for two years—calendar years 2018 and 2019.”
The summary notes that, under the proposed rule, institutions that originate fewer than 500 open-end lines of credit in either of the two preceding calendar years would not be required to collect and report data for a temporary, two year period. The open-end line of credit reporting threshold will return to the previous standard effective January 1, 2020.