WASHINGTON, D.C. – The Equipment Leasing and Finance Association has filed to join an injunction to stop implementation of the CFPB’s Section 1071. ELFA is asking the U.S. District Court for the Southern District of Texas to expand its recent injunction staying the effective dates of Section 1071 to include ELFA members. The injunction currently only covers members of the American Bankers Association, Texas Bankers Association and Rio Bank, McAllen, Texas.
“ELFA has been working to make sure Section 1071 doesn’t make it more burdensome for our members and their customers in the $1 trillion equipment finance industry to do business together,” said ELFA President and CEO Ralph Petta. “The association is taking this legal action to ensure that all ELFA members are subject to the same compliance timeframe and to ensure that the same transactions are treated the same, regardless of the type of company that makes the loan.”
This is the latest action on Section 1071 by the association, which has proactively engaged in both the legislative and regulatory arenas to defend its members’ interests and reduce the measure’s onerous reporting regulations. Section 1071 will require financial institutions to collect information about credit applicants and report it to the CFPB on an annual basis along with extensive financial data associated with the application’s disposition, including extensive pricing information.
ELFA’s Emergency Motion for Leave and Complaint in Intervention in the U.S. District Court for the Southern District of Texas are available on the ELFA website at https://www.elfaonline.org/1071.
The Equipment Leasing and Finance Association (ELFA) is the trade association that represents companies in the $1 trillion equipment finance sector, which includes financial services companies and manufacturers engaged in financing capital goods. ELFA members are the driving force behind the growth in the commercial equipment finance market and contribute to capital formation in the U.S. and abroad. Its 580 members include independent and captive leasing and finance companies, banks, financial services corporations, broker/packagers and investment banks, as well as manufacturers and service providers. ELFA has been equipping business for success for more than 60 years. For more information, please visit www.elfaonline.org.
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