On September 14, 2023, the CFPB updated its questions and answers pertaining to compliance with the Small Business Lending Rule. The FAQs were first published on June 28, 2023.
In particular, the following FAQs topics were updated:
Institutional Coverage Question #5 (Refinancing)
Institutional Coverage Question #7 (Agricultural-purpose credit transactions)
Covered Credit Transactions Question #2 (Consumer-designated credit for business or agricultural purposes)
Covered Credit Transactions Question #3 (Merchant cash advance)
Covered Credit Transactions Question #4 (Letter of credit)
Covered Credit Transactions Question #5 (Participation loan)
Covered Credit Transactions Question #6 (Trade credit exclusion)
Small Business Question #3 (Personal income for sole proprietorship)
Small Business Question #6 (Guarantor’s revenue)
Added a new set of FAQs on Firewall and Record Retentions
The CFPB’s FAQs on the 1071 Rule can be found here.