Menu Toggle Search

Five Reasons to Prepare for 1071 Rules: Small Business Reporting for Women & Minority Owned Businesses

Feb 21 2:00 PM - Feb 21, 2023 3:00 PM
Feb 21, 2023 2:00 PM - 3:00 PM
Add event to: ICal Outlook Google Calendar

Do you know the top five reasons to start preparing for implementation of the Section 1071 rules? Some say these new rules will be the biggest compliance challenge in the last 20years. The CFPB has promised the final rules by March 31, 2023; mandatory compliance will follow in 18 months. Don’t let the long implementation deadline lull you into complacency.

Learning Objectives

  • Understand important key dates for the final rule and mandatory compliance
  • Use the materials to develop a game plan for implementation
  • Define key terms like a “covered application,” minority-owned business, women-owned business, and “small business” proposal for a business that had $5 million or less in gross annual revenues for the preceding year
  • Distinguish which data elements may be restricted from access by certain employees
  • Explain the proposed data fields – the 22 fields range from application date to things not mandated by Dodd-Frank, such as “application recipient”
  • Compare the procedures used for small business loan applications today to the potential sweeping changes required by the rules

Industry experts have predicted that the implementation of the “Section 1071 Rules” for loan applications from small businesses owned by women and minorities will be the greatest compliance challenge in the last 20 years. Here’s why you should begin planning now.

  1. The purpose of the 1071 Rules is to require data collection and accurate reporting to ensure that all borrowers receive fair treatment. This data will be available to regulators and community groups. What will it reveal about your financial institution?
  2. There is no “model” application form for small business loans. What changes will be required to collect the required information? Does your current loan application system have the capacity to capture the required information?
  3. Early preparation and planning can save time, money, and headaches. What data should be included in a “gap analysis” to determine the scope of impact?
  4. Effective training will play a critical role in the successful implementation of the new rules.
  5. What should senior management and the board understand about the proposed rules?



Susan Costonis, Compliance Training and Consulting for Financial Institutions

Susan Costonis is a compliance consultant and trainer who began her career in 1978. She specializes incompliance management along with deposit and lending regulatory training. Susan has successfully managed compliance programs and exams for institutions that ranged from a community bank to large multi-state bank holding companies. She has been a compliance officer for institutions supervised by the OCC, FDIC, and Federal Reserve. Susan has been a Certified Regulatory Compliance Manager since 1998,completed the ABA Graduate Compliance School, and graduated from the University of Akron and the Graduate Banking School of the University of Colorado. She regularly presents to financial institution audiences in several states and “translates” complex regulations into simple concepts by using humor and real-life examples.




Your registration includes unlimited locations, making it easier to share and learn with remote staff.

Please note: You may share the link with others at your credit union, however the confirmation will be sent to one primary contact at your credit union. It will be up to the primary contact to share the material with others.

Additional Info

Event Type

On-Demand Webinar

Topics Covered

  • On-Demand Webinars
  • Lending & Collections
  • Compliance