Business groups file suit to nullify CFPB arbitration rule

Credit unions have rallied against the CFPB’s recent arbitration rule, and now business groups, including the American Bankers Association and the U.S. Chamber of Commerce, have filed suit asking that the agency be prohibited from enforcing the rule until its constitutionality can be determined.

The CFPB rule prohibits financial institutions and others from including clauses forcing consumers into arbitration when they have complaints. Though CUs are not part of the federal suit, credit union trade groups have been pushing the Senate to void the rule through the Congressional Review Act. Read the full article at CU Times.