Legal Newsline: CFPB says new rule, under assault from community groups, will help smaller lenders

Legal Newsline,

April 12, 2021, CFPB says new rule, under assault from community groups will help smaller businesses

A District of Columbia federal judge now has arguments from both sides in the dispute over whether a new rule changing how mortgage data is collected is “arbitrary and capricious.”

It raises those thresholds from a rule published five years ago, but it will interfere with the ability to make sure lenders are meeting the housing needs of their communities, says a coalition of plaintiffs led by the National Community Reinvestment Coalition.