Providing for congressional disapproval under chapter 8 of title 5, United States Code, of the rule submitted by the Bureau of Consumer Financial Protection relating to the withdrawal of the rule relating to "Application of Regulation Z's Ability-To-Repay Rule to Certain Situations Involving Successors-In-Interest".

Summary: H.J.Res. 163 (119th Congress, 2nd Session)

Purpose

• This joint resolution provides for congressional disapproval under Chapter 8 of Title 5, United States Code, of a specific rule issued by the Bureau of Consumer Financial Protection (CFPB).
• The rule in question withdraws a prior CFPB rule related to Regulation Z’s Ability-to-Repay (ATR) requirement, specifically in certain situations involving successors-in-interest.

What the bill does

• Congress would disapprove the CFPB’s withdrawal of the prior rule addressing the Application of Regulation Z’s ATR to successors-in-interest.
• If enacted, the disapproval means the withdrawn rule would have no force or effect.

Key provisions and changes

• Explicit disapproval: The resolution states that Congress does not approve the CFPB’s action to withdraw the ATR rule for successors-in-interest.
• Scope of disapproval: The disapproval applies to the rule withdrawal published in the Federal Register (June 2014 rule withdrawal referenced as “79 Fed. Reg. 41631” and a related withdrawal notice at “90 Fed. Reg. 20084” on May 12, 2025).
• Legal effect: Upon passage, the withdrawn rule would be void for purposes of law and policy; the prior rule (the ATR rule for successors-in-interest) would remain in force unless Congress acts otherwise.

Who/what is affected

• The primary impact is on CFPB regulatory actions related to Regulation Z (the Truth in Lending Act) and the ability-to-repay requirements as they pertain to successors-in-interest.
• Financial institutions, lenders, and borrowers who would be subject to the ATR rule in successor-in-interest scenarios could be affected if the disapproval is enacted and the earlier rule is reinstated or remains in force.

Procedural and timeline aspects

• Introduced in the House by Mr. Fields on April 30, 2026.
• Co-sponsor: Mr. Cleo Fields.
• Referral: Committee on Financial Services.
• As a joint resolution of disapproval, if passed by both chambers and signed by the President, it would nullify the CFPB withdrawal rule and reinstate or preserve the original regulatory framework to the extent of that rule’s withdrawal.
• The citation notes the specific rule withdrawal dates: the 2014 withdrawal (79 Fed. Reg. 41631) and the 2025 withdrawal (90 Fed. Reg. 20084).

Practical considerations

• The bill uses the Congressional disapproval route under the Small Business Regulatory Flexibility Act-style process (chapter 8 of title 5), which allows Congress to reject agency regulatory actions without necessitating extensive court challenges.
• If enacted, it would limit the CFPB’s ability to modify or withdraw the ATR regulation applicable to successors-in-interest in this context, potentially restoring the stricter ATR standard for certain successor transactions.

If you’d like, I can add a brief background on Regulation Z ATR and explain what “successors-in-interest” typically means in mortgage or loan contexts to provide more context.