The Bureau announced the shift in a statement posted to its newsroom, saying it would not prioritize enforcement or supervision actions regarding the Small Business Lending Under the Equal Credit Opportunity Act (Regulation B) for entities currently outside the stay.
The regulation implements Section 1071 of the Dodd-Frank Wall Street Reform and Consumer Protection Act. It was published at 88 Fed. Reg. 35,150 on May 31, 2023.
The CFPB said it will instead keep its enforcement and supervision resources "focused on pressing threats to consumers, particularly servicemen and veterans." The agency cited the interest of focusing resources on supporting "hard-working American taxpayers, servicemen, veterans, and small businesses."
According to the Bureau, even absent resource constraints, it would deprioritize enforcement of the rule because of "the unfairness of enforcing it against entities not protected by the court's stay but similarly situated to parties that are protected by the stay."
The agency said it "looks forward to resolving the status of this regulation and ensuring fair, consistent treatment for all entities impacted by the regulation."
The statement did not identify a timeline for resolution or address whether data-collection deadlines under the rule will be adjusted for covered lenders.