Congressman Denny Heck (D-WA) and Congressman Robert Pittenger (R-NC), members of the House Financial Services Committee, introduced last Thursday the Bureau of Consumer Financial Protection Small Business Advisory Board Act of 2014. This bipartisan legislation will allow a formal advisory role in the Consumer Financial Protection Bureau for small businesses in financial services.
“Consumers, banks, and credit unions already provide valuable insight on what the CFPB proposes, but the smaller operators in finance have a tougher time being heard,” said Congressman Heck. “As a small business owner myself, I know local financial service providers in Washington state can partner with the CFPB to better protect consumers and give input on how CFPB actions affect customers and operations.”
The CFPB Small Business Advisory Board will consist of at least 12 members. Members can be accountants, appraisers, lenders, title insurers, tax advisors and other financial service providers in a small business setting. Advisory board members will consult the agency on the development of policy and procedures, give an opinion on their role in complex financial transactions, as well as provide information on consumer protection trends they observe through their small business.
Each member will be appointed by the CFPB Director. The board will be required to meet twice a year and can be convened at the discretion of the CFPB Director.
The CFPB contains similar advisory boards of consumers, community banks, and credit unions. The advisory boards were included in the original legislation in the Dodd–Frank Wall Street Reform and Consumer Protection Act of 2010. For more information on the current CFPB advisory groups, click here.