From: Carolyn Munsey [mailto:cmunsey@cbsbank.net]
Sent: Monday, April 12, 2004 4:31 PM
To: Comments
Subject: EGRPRA Review of Consumer Protection Lending Related Rules
Dear Sir or Madam:
I welcome the regulator’s effort on the problem of regulatory
burden. Community bankers as a whole work hard to establish a relationship
with our customers and consumer protection rules interfere with
our ability to serve those customers.
Our community banking industry is slowly being crushed under the
cumulative weight of regulatory burden, something that must be
addressed by Congress and the regulatory agencies. Consumer protection
lending rules, though well intentioned, unnecessarily increase
costs for consumers and prevent banks from serving customers. While
individual requirements themselves may not be burdensome, the cumulative
impact of consumer lending rules, by driving up costs and slowing
processing time for loans from legitimate lenders, helps create
a fertile ground for predatory lenders.
We need to acknowledge that customer protection regulations are
not only a burden to banks but are also a problem for consumers.