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Gusto Submits Comment to the Consumer Financial Protection Bureau Regarding Small Business Lending Data Collection

Gusto Editors  

On January 6, 2022, Gusto submitted a comment to the Consumer Financial Protection Bureau (CFPB) responding to the proposed rule amending Regulation B to implement changes to the Equal Credit Opportunity Act (ECOA) made by section 1071 of the Dodd-Frank Wall Street Reform and Consumer Protection Act.

Gusto supports the CFPB’s efforts to create the first comprehensive database of small business credit applications in the United States. The comment urges the CFPB to prioritize the needs of women- and minority-owned businesses as it finalizes its rulemaking in order to increase transparency regarding access to capital. The comment urges data collection policies that allow the CFPB to capture a complete picture of the small business lending environment to better inform efforts to broaden capital access and combat discrimination, including a broad definition of small businesses and reporting requirements that cover all financial institutions. In an effort to promote a comprehensive analysis of the small business credit market, Gusto also supports small business disclosure around loan application date, the type and amount of credit, and the small business’ gross annual revenue, employee count, and time in operation. 

Read the full comment here:

a PDF of the Re: Proposed Rulemaking on Small Business Lending Data Collection under the Equal Credit Opportunity Act
Comment titled: Re: Proposed Rulemaking on Small Business Lending Data Collection under the Equal Credit Opportunity Act
Gusto Editors
Gusto Editors

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