CFPB extends compliance dates for 1071 rule

The Consumer Financial Protection Bureau issued an interim final rule to extend compliance deadlines for its 1071 small-business rule following a Supreme Court ruling that ended a temporary injunction on the rule.

Details: Available on the CFPB’s 1071 resource page, the interim final rule:

• Extends the compliance deadlines to account for the 290 days that elapsed between the July 31, 2023 start of the injunction and the high court’s decision in CFPB v. Community Financial Services Association of America.

• Extends the compliance deadline to July 18, 2025, for the highest-volume lenders; Jan. 16, 2026, for moderate-volume lenders; and Oct. 18, 2026, for the smallest-volume lenders.

• Keeps the deadline for reporting lending data to the CFPB as June 1 following the calendar year for which data are collected.

• Permits lenders to start collecting data earlier.

Previous Announcement: The CFPB last month said it would issue the interim final rule with the new deadlines following the Supreme Court ruling.

Ongoing 1071 Court Challenge: In a statement following the court decision, ICBA said it continues to look forward to judicial review of the CFPB’s 1071 rule. A court filing from ICBA, the Independent Bankers Association of Texas, and Texas First Bank argues that the CFPB violated the law in issuing its 1071 rule by exceeding its statutory authority and by failing to comply with the Administrative Procedures Act when it finalized the rule.