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HARRISBURG, PA. — Pennsylvania Association of Community Bankers (PACB) President and CEO Kevin Shivers issued the following statement and joined the Independent Community Bankers of America (ICBA) in commending U.S. House passage of a Congressional Review Act resolution to overturn the Consumer Financial Protection Bureau’s (CFPB) problematic final rule on overdraft services. “Community bankers have made it clear from the very beginning that this flawed rule would force customers to deal with the fallout from rejected payments and would make it harder for community banks to serve the needs of their customers. The rule would treat community banks the same as large national banks, to the detriment of the communities they serve. Unlike some national banks, the CFPB’s own research found the fees charged by community banks only covered the costs to administer the overdraft program and was not a profit maker. Community bank consumers rely on their financial institutions to advise them on available options to meet short-term funding needs, such as overdraft protection programs. The CFPB rule’s restrictions on these programs would lead to detrimental effects on those who rely on such services in times of need. PACB and community bankers across Pennsylvania want to thank U.S. Reps. Dan Meuser, Scott Perry, Lloyd Smucker, Rob Bresnahan, Brian Fitzpatrick, John Joyce, Glenn Thompson, Mike Kelly, Guy Reschenthaler, U.S. House Financial Service Committee Chairmen French Hill and U.S. Senate Banking Committee Chairman Tim Scott for their leadership in combatting unintended consequences from federal rulemakings. Protecting our community banks, their customers, and the communities they serve is and will remain our priority.” The resolution now heads to the president’s desk for final signature to become law.
HARRISBURG, PA. — Pennsylvania Association of Community Bankers (PACB) President and CEO Kevin Shivers issued the following statement and joined the Independent Community Bankers of America (ICBA) in commending U.S. House passage of a Congressional Review Act resolution to overturn the Consumer Financial Protection Bureau’s (CFPB) problematic final rule on overdraft services.
“Community bankers have made it clear from the very beginning that this flawed rule would force customers to deal with the fallout from rejected payments and would make it harder for community banks to serve the needs of their customers. The rule would treat community banks the same as large national banks, to the detriment of the communities they serve.
Unlike some national banks, the CFPB’s own research found the fees charged by community banks only covered the costs to administer the overdraft program and was not a profit maker.
Community bank consumers rely on their financial institutions to advise them on available options to meet short-term funding needs, such as overdraft protection programs. The CFPB rule’s restrictions on these programs would lead to detrimental effects on those who rely on such services in times of need.
PACB and community bankers across Pennsylvania want to thank U.S. Reps. Dan Meuser, Scott Perry, Lloyd Smucker, Rob Bresnahan, Brian Fitzpatrick, John Joyce, Glenn Thompson, Mike Kelly, Guy Reschenthaler, U.S. House Financial Service Committee Chairmen French Hill and U.S. Senate Banking Committee Chairman Tim Scott for their leadership in combatting unintended consequences from federal rulemakings. Protecting our community banks, their customers, and the communities they serve is and will remain our priority.”
The resolution now heads to the president’s desk for final signature to become law.