#2023-21, September 22, 2023

MBA, ABA Call on U.S. Senate to Reject Credit Card Competition Act

Last week, the Association contacted Senator Elizabeth Warren (D-MA) and Senator Ed Markey (D-MA) thanking them for not co-sponsoring the Credit Card Competition Act (CCCA) and reiterated our strong objection to its inclusion as an amendment to any bill this session.

Supporters of the CCCA have recently moved to attach the bill to the Military Construction, Veterans Affairs and Related Agencies Appropriations Act. As you may recall, a move to amend the National Defense Authorization Act (NDAA) and include the CCCA language was rejected by the U.S. Senate this past July, following objections from the Association and the ABA.

To read our past letter to Senator Warren and Senator Markey, click here. 

We will keep you posted as developments arise.

Federal Court Issues Nationwide Injunction on Consumer Protection Financial Bureau’s (CPFB) Section 1071

This week, a federal judge granted an injunction delaying the compliance dates for the CPFB Section 1071 final rule while the Supreme Court hears a separate case weighing the constitutionality of the CFPB’s funding structure. 

The Association continues to closely monitor this issue and will provide members with updates as they develop. In the meantime, please do not hesitate to reach out to us if you have any questions.

U.S. Senate Introduces New Cannabis Banking Bill: SAFER Act; Committee Vote Set for September 27

Earlier this week, a bipartisan group of U.S. Senators introduced the Secure and Fair Enforcement Regulation (SAFER) Act, which according to the bill’s summary, ensures all businesses, including state-sanctioned cannabis businesses “have access to deposit accounts, insurance and other financial services” and “creates common-sense standards for banks and credit unions to maintain customer relationships and to expand access to deposit accounts for underbanked groups.” To read a summary of the SAFER Act, click here.

The United States Banking Committee has scheduled a vote on the SAFER Act for September 27.

As you know, the Association, ABA and other state banking associations supported the original SAFE Act as it would allow banks to handle cannabis-related proceeds from state-licensed cannabis businesses and remain compliant with state and federal law and regulation. To read a past joint letter in support of the SAFE Act, click here.

The Association and ABA are reviewing the updated legislation and will keep you updated as we learn more.

Fannie Mae Grants Temporary Relief to Maintain Seller Eligibility Requirements

Fannie Mae recently announced temporary relief for sellers, which allows Fannie Mae sellers to sell at least one (1) loan for calendar year 2023.

The temporary relief eases the Loan Sales requirement that mandates at least 12 loans per calendar year in order to maintain approval as a Fannie Mae seller. According to Fannie Mae, beginning on January 1, 2025 (for calendar year 2024) sellers must meet the minimum requirement of 12 loans per calendar year to Fannie Mae in order maintain approval.

The Association is pleased to see our work alongside ABA lead to this determination by Fannie Mae. While we appreciate the short-term relief for community banks, we will continue to pursue a long-term solution and will update you on such progress as we can.

Federal Housing Finance Agency Seeking Applicants for Affordable Housing Advisory Committee

The Federal Housing Finance Agency (FHFA) is accepting applications to serve on its Affordable Housing Advisory Committee and seeks members with expertise in one or more of the following areas:

• Fair housing, fair lending, or civil rights
• Single-family lending, servicing, development, mortgage, or capital markets;
• Multifamily lending, servicing, development, mortgages, capital markets, or investments (i.e. Low-Income Housing Tax Credits);
• Consumer, tenant, or community advocacy;
• Housing market technology;
• State, local, or tribal government housing policies and programs; and
• Academics with a strong research and publishing or practitioner background, and a record of involvement in research and public policy, including public or academic service

The application deadline is October 13, 2023. To learn more about and apply to serve on the Committee, click here.