1071 Repeal to Protect Small Business Lending Act

H.R. 976, the 1071 Repeal to Protect Small Business Lending Act, would eliminate a federal data collection requirement currently imposed on financial institutions. Under existing law, banks and lenders must gather detailed information about applications for small business loans, including the number of applications received, whether they were approved or denied, loan amounts, and demographic information about applicants such as race, sex, ethnicity, and revenue. This data is reported to the Consumer Financial Protection Bureau.

If enacted, this bill would remove these reporting obligations. Supporters of the repeal argue it would reduce regulatory burden on lenders and protect small business lending. Critics contend that this data collection helps identify lending discrimination and track whether credit is being distributed fairly across different communities and demographic groups. The bill has passed committee review and is eligible for a floor vote in the House, though it has not yet been enacted into law.