The FDIC has
launched a web based survey of roughly 2,000 randomly
selected FDIC-insured banks regarding their small business lending
practices. This comes on the heals of the CFPB revelation that small business lending is also on their rulemaking
agenda. In May, the CFPB announced that
it was in the very early stages of implementing Section 1071 of the Dodd Frank
Act which amends the Equal Credit Opportunity Act to require financial
institutions to report information concerning credit applications made by women
owned, minority owned and small businesses.
At the end of
June, the FDIC issued a press release announcing their survey. As its rationale, the FDIC
states that “[s]mall business lending is an important way
that banks help meet their communities' needs, especially for the many banks
that primarily focus on commercial rather than consumer lending…Despite the
importance of small businesses to the U.S. economy and the importance of bank
lending to small businesses, there is little high quality data on small
business lending by banks. The FDIC Small Business Lending Survey (SBLS) is
designed to help fill in this information gap.”
The survey also includes questions concerning
consumer transactions which are responsive to a Congressional mandate to learn
more about bank efforts to bring unbanked individuals into the conventional
finance system. Responses to the survey are due August 10th.
The purpose of the survey is the provide
insight into many aspects of small business lending, including nationally representative
information on the general characteristics of small business borrowers, the
types of credit sought and offered, and the relative importance of small
business lending to banks of different sizes, business models and
location. The survey is broken down into
six sections; (a) questions concerning the 2015 small business borrowers at the surveyed institution;
(b) questions concerning the 2015 total loan originations of the surveyed institution; (c) questions concerning commercial
and industrial loan originations of the institution in 2015; (d) questions concerning outstanding
commercial and industrial loans reported
on the institutions call report in 2015; (e) questions concerning the small business “commercial and
industrial lending competition, practices and applications” for the surveyed institution;
and (f) consumer account offerings and policies.
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ReplyDeleteThe purpose of the survey is the provide insight into many aspects of small business lending, including nationally representative information on the general characteristics of small business borrowers, the types of credit sought and offered, and the relative importance of small business lending to banks of different sizes, business models and location.
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