Three California congressmen and a representative from Ohio arepressing the CFPB to exempt credit unions from rules.

NAFCU on Tuesday announced Reps. Adam Schiff (D-Calif.) andSteve Stivers (R-Ohio) were gathering signatures for a letterurging CFPB Director Richard Cordray to use the bureau'sDodd-Frank Act authority to exempt credit unions from certainrulemakings.

The bipartisan letter noted that a Government AccountabilityOffice report recently found that financial services have beenlimited or discontinued by many community-based financialinstitutions due to new regulations, particularly those governingremittance transfers.

Reps. Pete Aguilar (D-Calif.) and Ed Royce (R-Calif.) alsoagreed to sign the letter, NAFCU said in a release. Stivers andRoyce are members of the House Financial Services Committee.

“We appreciate Representatives Schiff's and Stivers' leadershipin championing this matter and thank Representatives Aguilar andRoyce for their important support for alleviating credit unions'overwhelming regulatory burden,” said NAFCU PresidentCEO DanBerger.

The letter also praised credit unions and community banks fortheir focus on local lending and community development. The signerswill urge Cordray to use CFPB's authority under Section1022(b)(3)(a) in the Dodd-Frank Act to adapt regulations byallowing it to exempt any class of entity from its rulemakings.