Senate Takes First Step to Repeal Trump-era ‘True Lender’ Rule

May 11, 2021, 10:53 PM UTC

The Senate voted to repeal a Trump-era rule that would make it easier for banks to partner with fintech lenders without running afoul of state interest rate limits.

The Senate in a 52-47 vote on Tuesday passed a Congressional Review Act resolution to overturn the Office of the Comptroller of the Currency’s “true lender” rule issued in October. Three Republicans joined majority Democrats to support the measure (S.J. 15) sponsored by Sen. Chris Van Hollen (D-Md.) and Senate Banking Committee Chairman Sherrod Brown (D-Ohio).

The CRA allows Congress to repeal a regulation through simple majority votes in both chambers ...

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