WASHINGTON – The Defense Credit Union Council (DCUC) has sent a letter to House Financial Services Committee leaders Rep. French Hill (D-AR) and Rep. Andy Barr (R-KY) that calls for updates to the Gramm-Leach-Bliley Act (GLBA) DCUC said “reflect today’s digital financial landscape.”
Separately, DCUC praised the SBA for a decision related to debanking.
In the letter on GBLA, DCUC commended the committee and subcommittee for “thoughtful examination of Title V, Subtitle A of the Gramm-Leach-Bliley Act (GLBA) and called for modernization—not replacement—of GLBA to ensure uniform protections across the financial services sector, particularly given the rise of fintech and data aggregators.”
Support for Single Standard
DCUC’s President/CEO Anthony Hernandez expressed support for a single, preemptive federal privacy standard, warning that a patchwork of state laws creates compliance burdens and confusion for consumers.
“Our members are committed to safeguarding the financial well-being and sensitive data of the Americans who serve our nation,” Hernandez said in a statement. “Updating GLBA to cover today’s marketplace, while ensuring consistency and accountability for all providers, is the best way to protect consumers and strengthen our financial system.”
Specific Recommendations
DCUC’s letter provides specific recommendations, including:
- Clarifying definitions within GLBA
- Ensuring fintechs and data aggregators face the same standards as credit unions
- Supporting shared accountability with third parties
- Encouraging reasonable data collection and retention practices.
SBA Steps on ‘Debanking’ Applauded
Separately, DCUC praised a decision by the Small Business Administration.
The SBA has instructed more than 5,000 lenders to end debanking practices based on political, religious, or ideological grounds, as it seeks to carry out President Trump’s Executive Order, “Guaranteeing Free and Fair Banking for All Americans.”
DCUC commended the President for the EO, and stated, “This decisive action sends an unmistakable message: in America, access to banking must be based on merit and law—not ideology. We applaud the President’s leadership in targeting unlawful and politicized ‘debanking’ practices that have no place in our financial system,” Hernandez said in a statement.
“No law-abiding American or legitimate business should be shut out of the financial system because of bias or political pressure,” added DCUC Chief Advocacy Officer Jason Stverak in a statement.
In late January, DCUC noted it wrote to Senate Banking, Housing, and Urban Affairs Committee Chair Tim Scott (R-SC) and Ranking Member Elizabeth Warren (D-MA), urging recognition of credit unions’ importance in safeguarding financial inclusion ahead of the Committee’s hearing, “Investigating the Real Impacts of Debanking in America.”
