Fintech Bill Would Create Regulatory Sandboxes for New Products

From: Bloomberg/BNA

By Gregory Roberts

Sept. 23 — Regulators could temporarily waive some rules for financial technology firms working on new innovations, under legislation proposed by Patrick McHenry (R-N.C.)

This regulatory sandbox, which McHenry dubs “permanent beta” is designed to provide fintech entrepreneurs more freedom to try out a new idea without becoming entangled in what may be ill-fitting regulations. Fintech companies have complained that the U.S. lags the U.K. and some other countries in encouraging innovation by that means.

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Regulators Lean on Financial Firms to Explain Industry to Them, Study Shows

From: The Wall Street Journal

‘Regulatory capture’ isn’t systemic but reliance on industry is potential red flag, CFA Institute survey says
Gabriel T. Rubin

Financial regulators often rely heavily on the companies they oversee to explain how their businesses work, a potential red flag, according to a survey of regulators and industry members.

The survey, commissioned by the CFA Institute, an association of investment professionals, was aimed at assessing the prevalence of “regulatory capture,” the idea that regulators can end up being co-opted by the industry.

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CUNA letter to CFPB on SBREFA process for third party collectors

From: CU Press

On behalf of America’s credit unions, I am writing regarding the Consumer Financial Protection Bureau’s (CFPB) recent release of the proposals for a Small Business Review Panel in accordance with the Small Business Regulatory Enforcement Fairness Act of 1996 (SBREFA) for the Fair Debt Collection Practices Act (FDCPA). Credit Union National Association (CUNA) represents America’s credit unions and their more than 100 million members.