House Vote on CFPB Rule is a Disappointing Setback for Underrepresented Small Businesses
Statement by John Arensmeyer, Founder & CEO of Small Business Majority, urging President Biden to veto a resolution overturning the Consumer Financial Protection Bureau’s ability to increase transparency in small business lending
“Small Business Majority strongly opposes the U.S. House of Representatives’ action to block the Consumer Financial Protection Bureau (CFPB) from implementing the Section 1071 rule, requiring lenders to report demographic data on small business loan recipients.
The CFPB’s rule implementing Section 1071 of the Dodd-Frank Act will facilitate better tracking of lending in communities of color and identify business development opportunities for entrepreneurs who have traditionally experienced inequities in our banking system.
Overturning the implementation of this rule hampers efforts to promote much-needed transparency and accountability in small business lending. We support President Biden’s commitment to vetoing this bill and urge policymakers to advance efforts to level the playing field for entrepreneurs when seeking access to capital.”
###
About Small Business Majority
Small Business Majority is a national small business organization that empowers America's diverse entrepreneurs to build a thriving and equitable economy. We engage our network of more than 85,000 small businesses and 1,500 business and community organizations to advocate for public policy solutions and deliver resources to entrepreneurs that promote equitable small business growth. Our deep connections with the small business community along with our scientific research enable us to educate the public about key issues impacting America’s entrepreneurs, with a special focus on advancing the smallest businesses and those facing systemic inequalities. Learn more about us on our website and follow us on Twitter, Facebook and Instagram.