Bank Loan Privacy Act

This bill makes the Consumer Financial Protection Bureau (CFPB) follow a clear, public process before it changes or deletes small business loan data. The CFPB would have to issue a proposed rule, take public comments, and explain exactly what data it plans to change or remove and how those changes protect privacy. This aims to balance small business privacy with the need for reliable lending data used by the public and policymakers.

Key points:

• Who is affected: The CFPB, lenders that report small business loan data, and small business owners whose data is collected.
• What changes: The CFPB must use a formal rule with public notice and comment before modifying or deleting this data, and must explain how any changes protect privacy.
• When: Takes effect after the bill becomes law; the rulemaking would happen before any data changes.