Source: http://www.nascusonline.org/regulatory_updates
Timestamp: 2016-02-07 10:16:07
Document Index: 800074806

Matched Legal Cases: ['art 204', 'in fine', 'art 760', 'art 561', 'art 1003', 'art 1015', 'art 390', 'art 507', 'art 336', 'art 390', 'art 533', 'art 346', 'art 553', 'art 710', 'arts 721', 'art 709', 'arts 701', 'art 230', 'art 216', 'art 1016', 'art 36', 'art 702', 'art 701', 'art 390', 'art 308', '§ 1005']

Regulatory Updates - NASCUS Online University
Updates from Federal Reserve, NCUA, FDIC, OTS, CFPB and OCC
News » Weekly Regulatory Update™
Our editors conduct ongoing search for major regulatory pronouncements from the Federal Reserve Board, FDIC, Office of the Comptroller of the Currency, National Credit Union Administration, Consumer Financial Protection Bureau, and Office of Thrift Supervision. We provide a brief summary of the new releases and links to the original source each week. December 04, 2014
HMDA Edits And File Specs Released
The FFIEC released on December 4, 2014 the 2015 HMDA Edits and File Specifications.http://www.ffiec.gov/hmda/edits.htmhttp://www.ffiec.gov/hmda/fileformats.htm
Revised FFIEC BSA/AML Exam Manual Released
On December 3, 2014 the FFIEC released the 2014 edition of the Bank Secrecy Act/Anti-Money Laundering (BSA/AML) Examination Manual. The 442-page revision clarifies supervisory expectations and incorporates regulatory changes since the manual's 2010 edition. The updates incorporate feedback from the banking industry and examination staff. The FRB, FDIC, NCUA, OCC, and State Liaison Committee revised the manual in collaboration with FinCEN and the OFAC. For more information visit the FFIEC BSA/AML InfoBase, where an online version of the Manual will soon be available.
http://www.ffiec.gov/press/pr120214.htm
New HMDA and CRA Geocoding System Released
On December 2, 2014 the FFIEC released a new HMDA and CRA Geocoding System to provide enhanced mapping features and more precise geocodes. For assistance using the new geocoding system, a geocoder's Help function was also announced.
Bank Pays $2M For FTC Act Violations For Add-On Billing
On November 24, 2014 the OCC announced the issuance of a consent order for a $2M civil money penalty and a cease and desist and restitution order against PNC Bank, National Association, Wilmington, Delaware, for violations of Section 5 of the FTC Act involving billing practices for identity protection products. From 1993 to January 2012, the bank's vendors billed identity protection customers the full fee for the products, even though many of the customers were not receiving the benefits of the products. The OCC determined the bank engaged in unfair practices, which caused or were likely to cause substantial consumer injury and resulted in financial gain to the bank.
http://www.occ.gov/static/enforcement-actions/ea2014-130.pdf
The Federal Reserve Board posted the semi-annual update of the Consumer Compliance Handbook on November 24, 2014. The handbook contains examination objectives, procedures, and other instructions for planning and conducting consumer compliance and Community Reinvestment Act examinations and for preparing and distributing examination findings. http://www.federalreserve.gov/boarddocs/supmanual/cch/cch.pdf
Expanded Foreclosure Protections Proposed By CFPB
On November 20, 2014 the CFPB proposed additional measures to ensure that homeowners and struggling borrowers are treated fairly by mortgage servicers. The proposals would:Require servicers to provide certain borrowers with foreclosure protections more than once over the life of the loanExpand consumer protections to surviving family members and other homeownersRequire servicers to notify borrowers when loss mitigation applications are completeProtect struggling borrowers during servicing transfersClarify servicers' obligations to avoid dual-tracking and prevent wrongful foreclosuresClarify when a borrower becomes delinquent and application of the 120-day ruleProvide more information to borrowers in bankruptcyMake several other changes to clarify current servicing requirementsMilestone: Comments on the proposal will be accepted until 90 days from its publication in the Federal Register.
http://www.consumerfinance.gov/newsroom/cfpb-proposes-expanded-foreclosure-protections/
CFPB Assesses Auto Dealer $8M CMP
The CFPB announced on November 19, 2014 its first action against a "buy-here, pay-here" car dealer. The Arizona based dealer, DriveTime, harmed consumers by making harassing debt collection calls and providing inaccurate credit information to credit reporting agencies. A Consent Order requires DriveTime to pay $8 million as a civil money penalty, end its unfair debt collection tactics, fix its credit reporting practices, and arrange for harmed consumers to obtain free credit reports.
FDIC Releases Mortgage Rules Video
On November 19, 2014 the FDIC released the first in a series of three new technical assistance videos developed to assist bank employees in meeting regulatory requirements. These new videos will address compliance with certain mortgage rules issued by the Consumer Financial Protection Bureau (CFPB). The first video covers the Ability to Repay and Qualified Mortgage Rule and is intended for compliance officers and staff involved in ensuring the bank's mortgage lending operations comply with CFPB rules.
OCC On Risk Management And MSBs
On November 19, 2014 the OCC issued Bulletin 2014-58 with a "Statement on Risk Management Associated With Money Services Businesses," to provide clarification to its supervised institutions on OCC supervisory expectations with regard to offering banking services to MSBs. The OCC’s statement highlights the following issues:The OCC does not direct banks to open, close, or maintain individual accounts, nor does the agency encourage banks to engage in the termination of entire categories of customers without regard to the risks presented by an individual customer or the bank’s ability to manage the riskMSBs present varying degrees of riskBanks are expected to assess the risks posed by an individual MSB customer on a case-by-case basis and to implement controls to manage the relationship commensurate with the risks associated with each customer
http://www.occ.gov/news-issuances/bulletins/2014/bulletin-2014-58.html
CFPB Clarifies SSDI Fair Lending Rules
On November 18, 2014 a CFPB Blog article points out how potential violations of fair lending laws may occur if a mortgage lender requires proof of how long Social Security Disability Income benefits will be received. The CFPB also announced it had issued Bulletin 2014-03 on "Social Security Disability Income Verification" to provide lenders guidelines and standards for compliance with fair lending laws.
CFPB Proposes Major New Protections For Prepaid Products
The CFPB announced on November 13, 2014 proposed strong, new federal consumer protections for the prepaid market. The proposal would require prepaid companies to limit consumers' losses when funds are stolen or cards are lost, investigate and resolve errors, provide easy and free access to account information, and adhere to credit card protections if a credit product is offered in connection with a prepaid account. The CFPB is also proposing new "Know Before You Owe" prepaid disclosures that would provide consumers with clear information about the costs and risks of prepaid products upfront. Prepaid account issuers would be required to post their account agreements on their websites, and submit them to the CFPBN for posting on its site. Milestone: Comments will be accepted until 90 days following its publication in the Federal Register.
http://www.consumerfinance.gov/newsroom/cfpb-proposes-strong-federal-protections-for-prepaid-products/
Lender Pays For Illegal Mortgage Steering
On November 13, 2014 the CFPB ordered a California mortgage lender, Franklin Loan Corporation, to pay $730,000 for paying illegal bonuses to its employees for steering consumers into loans with higher interest rates. The CFPB has asked a federal court to approve a consent order requiring the lender, with 18 locations in southern California and one in Chicago, to end its illegal payments and refund harmed consumers. The CFPB found that Franklin Loan tied its loan officers' quarterly bonuses to the interest rates on the loans they offered to home borrowers. No civil money penalty was included in the order, due to Franklin Loan's financial condition, and in order to maximize the amount available for refunds to over 1,400 borrowers.
http://www.consumerfinance.gov/newsroom/cfpb-takes-action-against-franklin-loan-corporation-for-steering-consumers-into-costlier-mortgages/
The November 2014 issue of The NCUA Report has been posted. It includes articles on ATM skimmers, understanding the risks in electronic payment systems, five new NCUA anti-fraud videos, mobile banking payments and other topics.
http://www.ncuareport.org/ncuareport/november_2014#pg1
Regulation D Reserve Tranches Indexed For 2015
The Federal Reserve announced on November 13, 2014 a final rule amending its Regulation D (12 CFR Part 204) to reflect the annual indexing of the reserve requirement exemption amount and the low reserve tranche for 2015. The amendments set the reserve requirement exemption amount of total reservable liabilities of each depository institution that is subject to a zero percent reserve requirement in 2015 at $14.5 million (from $13.3 million in 2014).Milestone: The new low reserve tranche and reserve requirement exemption amount will apply to the 14-day reserve maintenance period that begins January 22, 2015. For depository institutions that report deposit data weekly, this maintenance period corresponds to the 14-day computation period that begins Tuesday, December 23, 2014. For depository institutions that report deposit data quarterly, this maintenance period corresponds to the seven-day computation period that begins Tuesday, December 16, 2014. http://www.federalreserve.gov/newsevents/press/bcreg/20141113a.htm
Banks Fined For Foreign Exchange Trading Practices
The OCC announced on November 12, 2014 that it has assessed $950 million in fines against three national banks for unsafe or unsound practices related to their foreign exchange (FX) trading businesses.The fines against Bank of America, N.A. ($250 million); Citibank, N.A. ($350 million); and JPMorgan Chase Bank, N.A. ($350 million), follow multiagency examinations and investigations of the banks' activities in the global FX market. The OCC's action was coordinated with the U.S. Commodity Futures Trading Commission and the U.K. Financial Conduct Authority. The OCC found that:The banks failed to identify or prevent employee misconduct related to FX sales and tradingSome of the banks' traders held discussions in online chat rooms about coordinating FX trading strategies to manipulate exchange rates to benefit traders or the bankThe traders disclosed confidential bank information, including customer orders and rate spreadsTraders discussed activity to trigger trading actions potentially detrimental to customers and beneficial to the trader or bank, and discussed pending orders and agreed not to trade in particular currenciesThe banks had deficiencies in their internal controls and had engaged in unsafe or unsound banking practices with respect to the oversight and governance of FX trading, resulting in the banks' failure to identify the risks related to sales, trading, and supervision of employee conduct in FX trading
FinCEN Advisory On Updated FATF Report
FinCEN issued FIN-2014-A009, an Advisory on the update by FATF of its list of jurisdictions with strategic anti-money laundering and counter-terrorist financing (AML/CFT) deficiencies. The changes may affect U.S. financial institutions' obligations and risk-based approaches with respect to relevant jurisdictions.
CFPB Updates Two Small Entity Compliance Guides
On November 12, 2014 the CFPB updated its Small Entity Compliance Guides for the Ability-to-Repay and Qualified Mortgage (ATR/QM) Rule and the RESPA and TILA Mortgage Servicing Rules. These updates incorporate adjustments to the rules that became effective on November 3, 2014.http://files.consumerfinance.gov/f/201411_cfpb_atr-qm_small-entity-compliance-guide.pdfhttp://files.consumerfinance.gov/f/201411_cfpb_small-entity-compliance-guide_tila-respa.pdf
Agencies Propose Flood Insurance Regulation Revisions
The FRB, FCA, FDIC, NCUA, and the OCC issued a joint news release on October 24, 2014 announcing their approval of a joint notice of proposed rulemaking to amend regulations pertaining to loans secured by property located in special flood hazard areas. The proposed rule would implement provisions of the Homeowner Flood Insurance Affordability Act of 2014 (HFIAA) relating to escrowing flood insurance payments and the exemption of certain detached structures from the mandatory flood insurance purchase requirement. Comments will be due 60 days after publication in the Federal Register.
http://www.federalreserve.gov/newsevents/press/bcreg/20141024a.htm
CFPB August Mortgage Servicing Guidance Published
On October 23, 2014 the CFPB published [79 FR 63295] its August 19, 2014, Bulletin 2014-01, "Compliance Bulletin and Policy Guidance - Mortgage Servicing Transfers". The Bulletin is October 23, 2014, and applicable beginning August 19, 2014.
https://www.federalregister.gov/articles/2014/10/23/2014-24194/compliance-bulletin-and-policy-guidance-mortgage-servicing-transfers
NCUA Board Approves Proposed Rule On Flood Insurance Rule Changes
On October 23, 2014 the NCUA joined four other federal agencies in approving a proposed rule to amend the flood regulation (Part 760).The proposed rule would establish requirements with respect to the escrow of flood insurance payments to be consistent with changes in the Homeowner Flood Insurance Affordability Act of 2014. The proposed rule also includes a new exemption no longer requiring separate flood insurance for certain detached structures.Comments on the proposed rule are due within 60 days of publication in the Federal Register.
http://www.ncua.gov/about/Pages/Board%20Actions/BAB20141023.aspx
NCUA Board Action Issued
A Board Action Bulletin was issued by the NCUA to report the actions taken at its October 23 meeting. The Board announced credit unions would not pay a 2014 share insurance fund premium. It also approved a proposed joint agency rule amending flood insurance regulations.
CFPB Makes Minor Adjustments To Current Mortgage Rules
On October 22, 2014 the CFPB finalized its April 2014 proposal to make minor adjustments to its mortgage rules to ensure continuing access to credit. The adjustments include two changes that will help certain nonprofit organizations continue to provide mortgage credit and servicing to underserved populations. The changes also lay out limited circumstances in which lenders who exceed the Qualified Mortgage (QM) points and fees cap can pay a refund of the excess amount plus interest to consumers and still have the loan be considered a QM. The changes will be effective upon publication in the Federal Register.
http://www.consumerfinance.gov/newsroom/cfpb-finalizes-minor-changes-to-mortgage-rules-to-ensure-access-to-credit/
FinCEN Updates SAR Stats
FinCEN released on October 22, 2014 its quarterly update (October 2014) of SAR statistics by filing industry.
http://www.fincen.gov/news_room/rp/sar_by_number.html
The CFPB announced on October 20, 2014 a final rule to promote more effective privacy disclosures from financial institutions to their customers. The new rule, which was proposed in May 2014, allows financial institutions that meet other criteria to post their annual privacy notices online rather than delivering them individually. The changes will be effective upon publication in the Federal Register.
Executive Order: Security Of Consumer Financial Transactions
On October 17, 2014 a White House press release announced the issuance of an Executive Order regarding improving the security of consumer financial transactions. The Order addresses:Secure government paymentsImproved identity theft remediationSecuring federal transactions online
Treasury Consolidates OFAC Files And Upgrades List Search
Treasury announced on October 13, 2014 that all of its non-SDN sanctions lists (including the Non-SDN Palestinian Legislative Council (NS-PLC) List, the Part 561 List, the Non-SDN Iran Sanctions Act (NS-ISA) List, the Foreign Sanctions Evaders List (FSE List), and the Sectoral Sanctions Identifications (SSI) List) are available in a consolidated set of data files, "the Consolidated Sanctions List." The consolidated files comply with all of OFAC's existing data standards. While the consolidated sanctions list data files are not part of OFAC's list of Specially Designated Nationals and Blocked Persons (SDN List), some of the records in these consolidated files may also appear on the SDN List.
http://www.treasury.gov/resource-center/sanctions/OFAC-Enforcement/Pages/consolidated.aspx
CFPB Proposes Updates To Integrated TILA-RESPA Disclosures Rule
The CFPB announced on October 10, 2014 a proposal to modify and make technical amendments to its TILA-RESPA Integrated Disclosure rule. The proposal would give creditors some extra time to provide consumers with revised Loan Estimates after a consumer locks a floating interest rate, and makes an addition to the Loan Estimate form for use with certain construction loans. Various technical corrections are also proposed. Comments are due by November 10, 2014.
FinCEN issues Transportation of Currency Ruling
FinCEN Administrative Ruling FIN-2014-R010, issued September 24, 2014, clarifies the application of FinCEN regulations to certain persons involved in transportation of currency. FinCEN summarized the effect of the ruling as follows:Where a Federal Reserve Bank or a federally regulated bank contracts for and directs the physical transportation of value by the currency transporter, the currency transporter is exempted from money transmitter status under FinCEN's regulations exclusively with respect to such physical transportation of value.Where a currency transporter, without the intervention of any third party such as a subcontractor and/or transshipper, picks up value from a person (or from a shipper acting at the direction of that person) and physically delivers the same value to the same person at another location, or to an account of that person at a BSA regulated financial institution, such activity will not result in the currency transporter being a money transmitter under FinCEN's regulations.In all other scenarios (among them, where there exists transshipment — moving the same shipment from one currency transporter to another — or subcontracting, or where the currency transporter delivers value to a person different that the person from whom it picked up the value, or where the currency transporter takes more than a custodial interest in the value transported), the currency transporter will be deemed a money transmitter under FinCEN's regulation.
http://www.fincen.gov/news_room/rp/rulings/pdf/FIN-2014-R010.pdf
On September 24, 2014 the CFPB announced an update of its guide to reverse mortgages. The announcement also discussed a list of things that should be considered prior to entering into a reverse mortgage:The cost of homeowner's insurance and taxesPlans for staying in the home or leaving it to family membersPlans for dependents or others living in the homeAlternatives to reverse mortgageTwo important recent changes to reverse mortgage programs were also noted in the announcement. First-year payout limits have been instituted, and protections have been added for non-borrowing spouses.
http://www.consumerfinance.gov/blog/updated-reverse-mortgage-guide-two-things-you-should-know/
FRB Bulletin: HMDA
On September 23, 2014 a draft of an article to be included in a forthcoming issue of the Federal Reserve Bulletin features an overview of the 2013 data reported under the Home Mortgage Disclosure Act of 1975 (HMDA), mortgage market activity over time, and lending patterns across different demographic groups and lender types. In addition, a unique data set composed of HMDA records is matched to borrowers' credit records to reexamine the factors that might help explain the large differences in the incidence of higher-priced lending across borrowers of different races and ethnicities during the housing boom.
The FFIEC announced on September 22, 2014 the availability of data on mortgage lending transactions at 7,190 U.S. financial institutions covered by the Home Mortgage Disclosure Act (HMDA) regarding 2013 lending activity, including applications, originations, purchases and sales of loans, denials, and other actions related to applications. The CFPB has also announced via its Blog and a News Release that it has updated its HMDA database with the 2013 information.
http://www.ffiec.gov/press/pr092214.htm
The NCUA issued a Board Action Bulletin reporting the actions taken at the September 18, 2014, meeting, which includes a final rule repealing NCUA's regulation on unfair or deceptive advertising or practices in response to changes made by the Dodd-Frank Act and making other non-substantive changes to the rules to modify terminology and reflect changes in the agency's operations.Milestone: The final rule becomes effective upon publication in the Federal Register. September 18, 2014
The September 2014 issue of the NCUA Report was posted on September 18, 2014. The articles in this edition include:Beware of the Dangers of Indirect Auto LendingChairman's Corner: Credit Unions Help Students Go Back to SchoolWant to Reduce Risk at Your Credit Union? Start with Internal Controls School Partnerships Can Benefit Students and Credit Unions Be Prepared: Develop a Strong Business Continuity Plan Loans Grow in All Categories, Highest Year-over-Year Growth Since 2006
http://www.ncuareport.org/ncuareport/september_2014#pg1
CFPB Seeks Oversight Of Nonbank Auto Lenders
The CFPB announced on September 17, 2014 a proposed rule that would give it oversight of larger nonbank auto finance companies for the first time at the federal level. The proposal would bring under CFPB supervision nonbank auto finance companies that make, acquire or refinance 10,000 or more loans or leases a year. About 38 such companies originate approximately 90% of nonbank auto loans and leases. A supervision report that details the auto-lending discrimination that the CFPB uncovered at banks was also released.Milestone: Comments on the proposal will be accepted for 60 days following publication in the Federal Register.
http://www.consumerfinance.gov/newsroom/cfpb-proposes-new-federal-oversight-of-nonbank-auto-finance-companies/
US Bank Settles HUD Discrimination Charge
HUD announced on September 15 2014 an agreement with U.S. Bank National Association, U.S. Bank subsidiary Red Sky Risk Services, LLC (formerly known as USB Lending Support Services, LLC), and one of U.S. Bank's loan officers, resolving allegations that they refused to refinance the mortgage of a Native American couple in Belcourt, North Dakota, because their property is located on a reservation. Under the terms of the agreement, U.S. Bank agreed to pay the couple's U.S. Bank credit card balance in the amount of $11,489.56, and to approve their application for a home mortgage refinance loan at the same interest rate and under other terms and conditions for which they originally applied.
http://portal.hud.gov/hudportal/HUD?src=/press/press_releases_media_advisories/2014/HUDNo_14-106
CFPB To Supervise Large Nonbank International Money Transfer Providers
The CFPB announced on September 12, 2014 the approval of a final rule that allows it to supervise certain nonbank international money transfer providers for the first time. The rule, first proposed in January 2014, brings new oversight to approximately 25 larger nonbank international money transfer providers. A Fact Sheet on the rule was also released.Milestone: The effective date is December 1, 2014.
http://www.consumerfinance.gov/newsroom/cfpb-finalizes-rule-to-oversee-larger-nonbank-international-money-transfer-providers/
Mortgage Lender Pays $35,000 For Loan Denial
On September 12, 2014 HUD announced that FirstBank Mortgage Partners, a Jackson, Tennessee-based mortgage lender, will pay $35,000 to settle allegations that it violated the Fair Housing Act when it denied a mortgage loan to a couple because one applicant was on maternity leave. The complaint was filed with HUD by a married couple who alleged that after FirstBank had approved their application and scheduled its closing, the lender learned that the wife was on maternity leave and notified the couple within 24 hours of the scheduled closing that the loan was denied. The couple alleged that they then lost the opportunity to buy a home in Virginia and also lost their current housing.
http://portal.hud.gov/hudportal/HUD?src=/press/press_releases_media_advisories/2014/HUDNo_14-105
FinCEN Advisory On Human Smuggling And Trafficking Red Flags
On September 11, 2014 FinCEN issued Advisory 2014-A008, which alerts financial institutions to the need for recognizing "red flags" that may indicate financial activity related to human smuggling or human trafficking. In addition to identifying such signals or symptoms, the advisory provides common terms that financial institutions may use when filing SARs reporting activity related to these crimes.
CFPB Updates Resources For TILA-RESPA Rule
On September 10, 2014 the CFPB updated its Small Entity Compliance Guide for the TILA-RESPA Integrated Disclosure rule, and its Guide to the Loan Estimate and Closing Disclosure forms. It has also added an illustrative TILA RESPA Integration disclosure timeline example, which was mentioned in the recent Outlook Live webinar on the rule. The link below is the CFPB's TILA-RESPA Integrated Disclosure rule implementation page.
FTC Pass it ON Campaign Available
On September 10, 2014 the FTC released its newest education campaign called Pass it ON. Add this program to your financial institution’s tools in educating consumers by encouraging older adults to help raise awareness about fraud. Older adults can talk to their families, friends, and neighbors about avoiding common scams. Pass it ON involves identity theft, paying too much for bills, and scams involving imposters, fundraising, prizes and lotteries, and health care. It offers short and direct reminders of the signs of scams, suggests tools to start a conversation, and encourages older consumers to pass the information on. The campaign is based on the concept that older people are part of the solution to the problem, not just the victims of scammers. Fact sheets, bookmarks, word games, presentations, and a new video that describes how consumers can start a conversation about spotting fraud are available.
NMLS Mortgage Industry Report Released
On September 10, 2014 the NMLS released the Second Quarter 2014 NMLS Mortgage Industry Report, which contains an analysis of companies, branches, and mortgage loan originators who were licensed or registered through NMLS in order to conduct mortgage activities. An update to the Money Services Business Fact Sheet was also released. NMLS provides MSB licensing management services for 21 states.
http://mortgage.nationwidelicensingsystem.org/about/Reports/2014Q2-Mortgage-Report.pdf
Agencies Propose Updates To CRA Q&A
On September 8, 2014 the FRB, FDIC and OCC announced their notice of proposed revisions to the "Interagency Questions and Answers Regarding Community Reinvestment." The proposed new and revised questions and answers:Address alternative systems for delivering retail banking services;Add examples of innovative or flexible lending practices;Address community development-related issues by:Clarifying guidance on economic development; Providing examples of community development loans and activities that are considered to revitalize or stabilize an underserved nonmetropolitan middle-income geography; and Clarifying how community development services are evaluated; andOffer guidance on how examiners evaluate the responsiveness and innovativeness of an institution's loans, qualified investments, and community development services.
http://www.federalreserve.gov/newsevents/press/bcreg/20140908a.htm
NMLS Enhancements And Updates
On September 3, 2014 the NMLS announced October 6, 2014 as the target date for the implementation of numerous general enhancements and system maintenance updates.PDF Release Notes
FDIC Enforcement Actions Available
On August 29, 2014 the FDIC publicized a list of 39 orders for administrative enforcement actions taken against banks and individuals in June and July. Pay close attention to the following:$15,000 CMP against a Tennessee bank for violations of the UDAP provisions of the FTC Act relating to prepayment penalties on residential mortgage loans$20,000 CMP against a Georgia bank for UDAP violations related to failures to disclose cash advance fees on its credit cards and violations related to its ID Theft add-on productAnother Georgia bank was assessed a $10,000 CMP for UDAP violations for failing to disclose that consumers could opt out of its ID Theft add-on product
https://www.fdic.gov/news/news/press/2014/pr14072.html
FinCEN MSB Ruling Released
On August 27, 2014 FinCEN released a ruling, FIN-2014-R009, responding to a letter seeking an administrative ruling about a company's possible status as a money services business under the Bank Secrecy Act. The company is currently engaged in two types of activities:Acting as an ISO, soliciting merchants to offer them the credit and debit card processing services of two counterparties, under a marketing and sponsorship agreement Acting separately as a payment processor for merchant credit and debit card transactions and automatic clearing house ("ACH") transfers.FinCEN determined that the company would not be considered an MSB. The ruling is specific to the company and the facts included in the company's ruling request.
http://www.fincen.gov/news_room/rp/rulings/html/FIN-2014-R009.html
OCC EFTA Booklet Updated
The OCC issued Bulletin 2014-43 on August 28, 214 to announce the revision of the "Electronic Fund Transfer Act" booklet of the Comptroller's Handbook, replacing a booklet issued in October 2011. The revised booklet provides updated guidance to examiners and bankers relevant to recent changes made to Regulation E regarding remittance transfers.
http://www.occ.gov/news-issuances/bulletins/2014/bulletin-2014-43.html
The CFPB announced on July 24, 2014 proposed changes to Regulation C (12 CFR Part 1003), that implements the Home Mortgage Disclosure Act. The proposal is intended to provide better information about residential mortgage credit by expanding the list of data that financial institutions are required to provide, including new information that could help identify potential discriminatory lending practices. It is also expected to provide additional information to help regulators monitor access to credit. http://www.consumerfinance.gov/newsroom/cfpb-proposes-rule-to-improve-information-about-access-to-credit-in-the-mortgage-market/
New OFAC List And Designations
OFAC released on July 23, 2014 additional file formats for the Sectoral Sanctions Identification (SSI) List. The SSI List will be available in the same file formats as the SDN and FSE Lists, and the layout of names on the SSI List will be identical to the layout of names on the SDN List. In addition, SSI List data files will follow existing SDN List data standards. Information regarding the SSI List has been added to the OFAC Frequently Asked Questions (FAQs).
http://www.treasury.gov/resource-center/sanctions/OFAC-Enforcement/Pages/20140723_33.aspx
Agencies Take Action To Halt Mortgage Schemes
On July 23, 2014 the FTC, the CFPB, and various state agencies announced actions taken against six mortgage relief operations, charging that defendants preyed on distressed homeowners by misrepresenting that they typically could lower homeowners' mortgage payments and interest rates or prevent foreclosure, and illegally charging advance fees. The actions were part of Operation Mis-Modification, a joint federal and state enforcement sweep conducted with the CFPB. The defendants were charged with violating the Federal Trade Commission Act and the Mortgage Assistance Relief Services (MARS) Rule (CFPB Regulation O, 12 CFR Part 1015), which bans mortgage foreclosure rescue and loan modification services from collecting fees until homeowners have a written offer from their lender or servicer that they deem acceptable. The CFPB also issued a Consumer Advisory about foreclosure relief scams or bogus legal help.
FDIC Updates Transferred Regulations
On July 21, 2014 the FDIC published final rules to update or rescind regulations transferred to the FDIC following the dissolution of the former OTS as provided in the Dodd-Frank Act, as follows, a final rule [79 FR 42181] removing Part 390, supbart A (former OTS regulation at 12 CFR Part 507), and amend FDIC regulations at 12 CFR Part 336 (relating to post-employment activities of senior examiners). A final rule [79 FR 42183] removing Part 390, subpart H (former OTS regulation at 12 CFR Part 533), and amend FDIC regulations at 12 CFR part 346 (relating to disclosure and reporting of CRA-related agreements)
https://www.federalregister.gov/articles/2014/07/21/2014-16973/transferred-ots-regulations-and-fdic-regulations-regarding-disclosure-and-reporting-of-cra-related
CFPB Is Now Accepting Prepaid Card Complaints
The CFPB announced on July 21, 2014 that it has added prepaid cards, such as gift cards, benefit cards and general-purpose reloadable cards, to the list of financial service services and products concerning which it accepts consumer complaints. The CFPB also opened its complaint database to consumer reports of dissatisfaction with debt settlement services, credit repair services, and pawn and title loans.
CFPB Proposes To Make Complaints Public
On July 16, 2014 the CFPB announced a new proposal to allow consumers to select an option to share the narrative portion of their complaints in the agency's Consumer Complaint Database. A notice of proposed policy statement and request for public comment has been issued. Companies would be able to publish their own replies to the consumer narratives. Complaints are not entered into the public database until after the company responds or has had the complaint for 15 calendar days without responding. If a consumer has opted to have the complaint narrative published, both the narrative and any response that the company decides to submit would be listed simultaneously, and would be scrubbed to remove personal identifying information (company names would not be redacted). http://www.consumerfinance.gov/newsroom/cfpb-proposal-would-give-consumers-the-opportunity-to-publicly-voice-complaints-about-financial-companies/
On July 16, 2014 the Treasury announced the introduction of the Sectoral Sanctions Identification (SSI) List to identify persons operating in sectors of the Russian economy identified by the Secretary of the Treasury pursuant to Executive Order 13662. A broad-based package of sanctions was imposed on entities in the financial services, energy, and arms or related materiel sectors of Russia, and on those undermining Ukraine's sovereignty or misappropriating Ukrainian property. Secretary Lew also issued a statement on the actions. An FAQ with more information on the SSI List was also released. Four entities were added to the new SSI List.
http://www.treasury.gov/press-center/press-releases/Pages/jl2573.aspx
On July 8, 2014 the CFPB announced a new interpretive rule to clarify that when a borrower dies, the name of the borrower's heir generally may be added to the mortgage without triggering the CFPB's Ability-to-Repay rule. The interpretive rule can also apply to other transfers, including transfers to living trusts, transfers during life from parents to children, transfers resulting from divorce or legal separation, and other family-related transfers. The interpretive rule does not require that the creditor or assignee of the loan accept the change of obligor(s); it facilitates such a change when the creditor or assignee is willing to accept it.
http://www.consumerfinance.gov/newsroom/cfpb-clarifies-mortgage-lending-rules-to-assist-surviving-family-members/
OFAC Issues Central African Republic Rules
On July 7, 2014 OFAC published [79 FR 38248] regulations to implement Executive Order 13667 of May 12, 2014 ("Blocking Property of Certain Persons Contributing to the Conflict in the Central African Republic"). OFAC intends to supplement this part 553 with a more comprehensive set of regulations, which may include additional interpretive and definitional guidance and additional general licenses and statements of licensing policy.
https://www.federalregister.gov/articles/2014/07/07/2014-15763/central-african-republic-sanctions-regulations
Agencies Issue Guidance for Home Equity Lines of Credit Nearing Their End-of-Draw Periods Four federal financial institutions regulatory agencies and the Conference of State Bank Supervisors (CSBS) issued guidance to financial institutions regarding home equity lines of credit (HELOCs) nearing their "end-of-draw" periods, which occurs when the principal amount of the HELOC must begin to be repaid. The guidance encourages financial institutions to effectively communicate with borrowers about the pending reset and provides broad principles for managing risk as HELOCs reach their end-of-draw periods. http://www.federalreserve.gov/newsevents/press/bcreg/20140701a.htm
Agencies Release List of Distressed or Underserved Nonmetropolitan Middle-Income Geographies The Board of Governors of the Federal Reserve System, the Federal Deposit Insurance Corporation, and the Office of the Comptroller of the Currency today announced the availability of the 2014 list of distressed or underserved nonmetropolitan middle-income geographies, where revitalization or stabilization activities will receive Community Reinvestment Act (CRA) consideration as "community development." http://www.federalreserve.gov/newsevents/press/bcreg/20140630a.htm
Call Report Changes Proposed
On June 23, 2014 the FDIC, OCC, and FRB published [79 FR 35634] for public comment proposed revisions to the risk-weighted assets portion of Schedule RC-R, Regulatory Capital, and to line items related to securities lent and borrowed in Schedule RC-L, Derivatives and Off-Balance Sheet Items, in the Consolidated Reports of Condition and Income (Call Report or FFIEC 031 and FFIEC 041). The proposed revisions to the Call Report are consistent with the revised regulatory capital rules published by the agencies (revised regulatory capital rules), and would be effective with the March 31, 2015, report date. https://www.federalregister.gov/articles/2014/06/23/2014-14549/proposed-agency-information-collection-activities-comment-request
The NCUA announced on June 20, 2014 the availability of a new web resource page and a new video. The resource page includes videos, charts showing trends that affect interest rate risk, and links to NCUA regulations and letters to credit unions, interagency guidance, and best practice resources. The video posted on the NCUA You Tube channel concerns interest rate risk and the questions credit unions should answer.
http://www.ncua.gov/News/Pages/NW20140620NewResource.aspx
NCUA Voluntary Liquidation Final Rule On June 19, 2014 the NCUA Board approved a final rule that would allow solvent federal credit unions that decide to liquidate voluntarily to have fewer administrative hurdles, and members will have better protection (Part 710).
http://www.ncua.gov/about/Pages/Board%20Actions/BAB20140619.aspx
NCUA Proposed Securitization Rule The NCUA Board finalized a proposal on June 19, 2014 that would allow qualified federal credit unions to securitize loans if they meet certain criteria (Parts 721 and 741). A credit union would be required to create a separate, special-purpose entity to hold the assets. It would also need to have independent risk-management controls and an annual independent audit performed. The proposed rule also would apply to federally insured, state-chartered credit unions that are permitted by state law to securitize their assets.
NCUA Safe Harbor for Securitizations Proposed Rule
In conjunction with the proposed rule on securitization, the NCUA Board also approved on June 19, 2014 a proposed rule (Part 709) providing a safe harbor for assets transferred by a federally insured credit union in connection with a securitization or a participation.
NCUA Proposed Appraisal Rule On June 19, 2014 the NCUA Board approved a proposed rule (Parts 701 and 722) providing a measure of relief to both federally insured credit unions and homeowners who are underwater in their mortgages through no fault of their own. The proposed rule, part of the agency’s Regulatory Modernization Initiative, would encourage more federally insured credit unions to modify or refinance mortgages in markets where home prices have declined. The rule would allow a federally insured credit union to refinance or modify a real estate-related loan it holds without obtaining an appraisal if there is no advancement of new monies or with an advancement if there is adequate collateral protection.
A HUD press release issued June 19, 2014 announced Federal Housing Agency (FHA) Mortgage Letter 2014-10, which reminds lenders participating in the agency's Home Equity Conversion Mortgage (HECM) Program to make certain senior borrowers are fully informed of all their options when applying for reverse mortgages. The advisory states that the FHA prohibits the utilization of misleading or deceptive advertising, and that the prohibition extends to misleading or deceptive descriptions of the HECM program. http://portal.hud.gov/hudportal/HUD?src=/press/press_releases_media_advisories/2014/HUDNo_14-078
OFAC Notice Concerning Format
OFAC issued a notice on June 17, 2014 regarding OFAC's human-readable PDF lists (sdnew14.pdf, sdnlist.pdf, t11sdn.pdf, fselist.pdf, fsenew14.pdf). Users will notice that OFAC has changed the font used in these lists. The new font combined with a slight change in character spacing has increased the length of the SDN list by approximately 300 pages. The length of the FSE list will also increase by about the same percentage. This change will appear in the PDF version of the FSE list the next time that list is updated.
http://www.treasury.gov/resource-center/sanctions/OFAC-Enforcement/Pages/20140617.aspx
Expanded HOEPA Coverage Affects HMDA Reporting
The FFIEC posted on June 16, 2014 a recent FRB notice concerning the impact on HMDA reporting requirements of the January 10, 2014, change to the HOEPA (High Cost Mortgage) Rule (Regulation Z, section 1026.32) that expanded HOEPA coverage. Revised HMDA edits are currently available on the FFIEC website, and a new version of the HMDA Data Entry Software that incorporates the HOEPA revisions will be made available in early August.
http://www.ffiec.gov/hmda/pdf/FINAL_HOEPA_Revisions_effective_January_2014_%20061614_EW_v2_PCD_Edits.pdf
Guidance On Income Tax Allocation Agreements Issued
The federal banking regulators jointly issued on June 13, 2014 final supplemental guidance on income tax allocation agreements involving holding companies and insured depository institutions. The guidance supplements a policy statement issued in 1998 [63 FR 64757] by instructing insured depository institutions and their holding companies to review their tax allocation agreements to ensure the agreements expressly acknowledge that the holding company receives any tax refunds as an agent. In addition, all banking organizations are asked to insert specific language in their tax allocation agreements to further clarify tax refund ownership. The guidance also clarifies how sections 23A and 23B of the Federal Reserve Act, which establish certain restrictions on and requirements for transactions between depository institutions and their affiliates, apply to tax allocation agreements.
http://www.federalreserve.gov/newsevents/press/bcreg/20140613a.htm
Volcker Rule Interim Exam Procedures
On June 12, 2014 the OCC issued Bulletin 2014-27 to announce interim procedures for examiners to assess banks' progress in developing a framework to comply with requirements of section 619 of the Dodd-Frank Act, commonly known as the Volcker Rule and the implementing regulations adopted by the OCC with the other rule-writing agencies. http://www.occ.gov/news-issuances/bulletins/2014/bulletin-2014-27.html
CFPB Request For Information On Mobile Financial Services The CFPB published in the June 11, 2014 Federal Register a notice requesting information about how consumers are using mobile financial services to access products and services, manage finances and achieve their financial goals, with a focus on economically vulnerable consumers. With regard to mobile POS payments, the inquiry is restricted to mobile payment products targeted specifically for low-income and underserved customers, and whether such targeting could benefit or harm such customers. http://www.consumerfinance.gov/newsroom/cfpb-launches-inquiry-into-mobile-financial-services/
Federal Bank Regulatory Agencies Seek Comment on Interagency Effort to Reduce Regulatory Burden The Economic Growth and Regulatory Paperwork Reduction Act of 1996 (EGRPRA) requires the Federal Financial Institutions Examination Council, Office of the Comptroller of the Currency, Federal Deposit Insurance Corporation, and Board of Governors of the Federal Reserve System (agencies) to review regulations issued by the agencies at least every 10 years. It also requires the agencies to categorize the regulations, publish the regulations in each category for comment, report to Congress on any significant issues raised by the comments, and identify areas of regulations that are outdated, unnecessary or unduly burdensome. http://www.federalreserve.gov/newsevents/press/bcreg/20140604a.htm
Credit Union Expansion Continued during First Quarter
America’s credit union system continued to grow during the first quarter of 2014, although higher interest rates during the first quarter that slowed mortgage originations and ongoing growth in long-term investments are still concerns, the National Credit Union Administration reported today. http://www.ncua.gov/News/Pages/NW20140603Expansion1stQtr.aspx
FRB Repeals Regulations P and DD
The FRB announced on May 22, 2014 rules finalizing the repeal of its Regulation DD (Truth in Savings, 12 CFR Part 230) and Regulation P (Privacy of Consumer Financial Information, 12 CFR Part 216). The repeal of these regulations resulted from the Dodd-Frank Act transfer of rulemaking authority for several consumer protection laws from the FRB to the CFPB
http://www.federalreserve.gov/newsevents/press/bcreg/20140522a.htm
FRB Issues Final Amendments to Regulation V
The final amendments require financial institutions and creditors to implement identity theft prevention programs. The final rule reflects legislation that amended the Fair Credit Reporting Act (FCRA) to clarify that these provisions apply only to creditors that regularly extend credit or obtain consumer reports in the ordinary course of their business. The amendments to the FCRA were intended to narrow the scope of the law so that it would not be applied to professionals, such as doctors or lawyers, who sometimes allow consumers to delay payment.
OCC Licensing Rules Proposal Announced
The OCC announced on May 21, 2014 with the release of OCC Bulletin 2014-22 a Notice of Proposed Rulemaking that would integrate OCC rules for national banks and federal savings associations relating to policies and procedures for corporate activities and transactions (licensing rules). The integration is intended to create filing parity for national banks and federal savings associations for all activities and transactions addressed in the OCC's licensing rules. http://www.occ.gov/news-issuances/bulletins/2014/bulletin-2014-22.html
The Office of the Comptroller of the Currency published in the May 16, 2014 Federal Register a final rule ombining certain rules originally issued jointly with the other Federal banking agencies by the OCC with respect to national banks and by the former Office of Thrift Supervision (OTS) with respect to savings associations. This rulemaking also makes technical amendments to the OCC's FCRA rule to conform to provisions of the Dodd-Frank Act. https://federalregister.gov/a/2014-11406
Privacy notice proposal published
The CFPB published in the May 13, 2014 Federal Register its proposal [79 FR 27214] to amend Regulation P (12 CFR Part 1016) to provide an alternative method under limited circumstances for fulfilling the annual notice requirement of the regulation. https://federalregister.gov/a/2014-10713
VA ATR/QM Requirements - Interim Final Rule
The Department of Veterans Affairs published an interim final rule on May 9, 2014 [79 FR 26620] to amend its Loan Guaranty regulations at 38 CFR Part 36 to implement provisions of the Dodd-Frank Act requiring that VA define the types of VA loans that are "qualified mortgages" (QMs) for the purposes of the new Ability to Repay provisions of the Truth in Lending Act. This rule establishes which VA-guaranteed loans are to be considered QMs and have either safe harbor protection or the presumption that the borrower is able to repay a loan. Almost all VA loans meeting current VA underwriting standards will have safe harbor protection; some of the VA's Interest Rate Reduction Refinance Loan program loans will be "rebuttable presumption" QMs. https://federalregister.gov/a/2014-10600
NCUA Board Approves Final Stress Testing Rule for Largest Credit Unions
The NCUA Board approved and announced on April 24, 2014 a final rule (Part 702) that requires federally insured credit unions with assets of $10 billion or more to develop and maintain a capital plan and providing for comprehensive, independent stress testing on all covered credit unions. Under the new rule, covered credit unions will submit an annual capital plan to NCUA for approval. NCUA will conduct the supervisory stress tests beginning this year, and the rule makes it possible for covered credit unions to conduct their own stress tests after three years if they meet certain benchmarks. Results will remain confidential during the first three years.
http://www.ncua.gov/about/Documents/Agenda%20Items/AG20140424Item4b.pdf
NCUA Proposed Rule on Associational Common Bond Qualifications
On April 24, 2014 the NCUA Board announced a proposed rule (Part 701) to define more clearly which associational groups do and do not qualify for membership of a federal credit union. The proposed rule would provide automatic approval for associations that do qualify.
http://www.ncua.gov/about/Documents/Agenda%20Items/AG20140424Item3b.pdf
FDIC Proposes To Rescind Regulations
On April 21, 2014 the FDIC published in the Federal Register a proposed rule that would rescind and remove transitional regulations at 12 CFR Part 390, subparts B, C, D, and E, which were transferred from the OTS effective July 21, 2011, in accordance with Title III of the Dodd-Frank Act. The proposal would amend FDIC regulations at 12 CFR Part 308, subparts A, B, C, K and N to extend their scope to include State savings associations. https://www.federalregister.gov/articles/2014/04/21/2014-08260/regulations-transferred-from-office-of-thrift-savings-and-rules-of-practice-and-procedure April 18, 2014
CFPB Releases Completion Guide For Integrated Disclosures
On April 18, 2014 the CFPB posted a new guide, TILA-RESPA Integrated Disclosures: Guide to the Loan Estimate and Closing Disclosure Forms, which is a compilation of instructions for completing the two new integrated RILA-RESPA disclosures that will be required beginning August 1, 2015. The agency also revealed a new Regulatory Implementation page, with links to separate "landing pages" for Dodd-Frank Act Title XIV (MRAPLA) rules, the TILA-RESPA Integrated Disclosure rule, and the Remittance Transfer rule.
http://files.consumerfinance.gov/f/201404_cfpb_tila-respa-integrated-disclosure-form.pdf
FFIEC Large Institution CRA Exam Procedures Updated
The FFIEC posted on April 18, 2014 an update for the large institution CRA examination procedures. The updates reflect the changes to the Interagency Q & A regarding community reinvestment published in November 2013. The OCC has published Bulletin 2014-16 and the Federal Reserve has released CA Letter 14-2 regarding the update
http://www.occ.gov/news-issuances/bulletins/2014/bulletin-2014-16.html
CFPB Proposes Relaxing Remittances Rule
The CFPB announced on April 15, 2014 a proposal to amend subpart B of Regulation E to extend for an additional five years a temporary provision in § 1005.32(a) that permits insured institutions to estimate certain foreign remittance transfer pricing disclosures. The provision currently expires July 21, 2015. http://www.consumerfinance.gov/newsroom/cfpb-proposes-revision-to-rule-protecting-consumers-sending-money-internationally/
CFPB Proposes New Info Gathering Plan
On April 14, 2014 the CFPB published a Notice and Request for Comment [79 FR 20865] on a proposed new Generic Information Collection Plan, "CFPB Generic Information Collection Plan for Studies of Consumers using Controlled Trials in Field and Economic Laboratory Settings." Information from the CFPB's research will be used for developmental and informative purposes in order to increase the CFPB's understanding of consumer credit markets and household financial decision-making. https://www.federalregister.gov/articles/2014/04/14/2014-08266/agency-information-collection-activities-comment-reque
Large Banks Leverage Ratio Final Rule On April 8, 2014 a joint press release was issued by the FRB, the FDIC, and the OCC announcing the adoption of a final rule to strengthen the leverage ratio standards for the largest, most interconnected U.S. banking organizations with more than $700 billion in consolidated total assets or more than $10 trillion in assets under custody and their insured depository institution (IDI) subsidiaries. The final rule currently applies to eight large U.S. banking organizations that meet the size thresholds and their IDI subsidiaries.
http://www.federalreserve.gov/newsevents/press/bcreg/20140408a.htm
Regulatory Capital Rules: Regulatory Capital, Proposed Revisions to the Supplementary Leverage Ratio On April 8, 2014 a joint press release was issued by the FRB, the FDIC, and the OCC announcing a notice of proposed rulemaking that would modify the denominator calculation for the supplementary leverage ratio in a manner consistent with recent changes agreed to by the Basel Committee on Banking Supervision.
Fed Supports Same-Day ACH Settlement
On April 7, 2014 the Retail Payments Office of the Federal Reserve issued a statement supporting the announcement by NACHA that it is taking steps toward same-day ACH settlement for ACH network transactions.
http://www.frbservices.org/files/communications/pdf/press/040714_sameday.pdf
Homeowners Flood Insurance Affordability Act Memorandum Issued
FEMA's Federal Insurance and Mitigation Administration issued on April 3, 2014 a memorandum providing an Overview of the Homeowner Flood Insurance Affordability Act of 2014 (start on page 3 of the PDF document linked below). Additional information regarding the new law and its impact on the National Flood Insurance Program (NFIP) will be posted on FEMA's Flood Insurance Reform webpage.
http://www.nfipiservice.com/Stakeholder/pdf/bulletin/w-14011.pdf
CFPB Reports Increased Complaint Volume
The CFPB announced on March 31, 2014 the publication of the agency's 2013 Consumer Response Annual Report. The agency reported that the volume of consumer complaints filed with the agency in 2013 increased by 80% over 2012 volumes. That increase reflects both the CFPB's gradual additions to the types of complaints it accepts and the public's growing awareness of the new agency's role in accepting and following up on consumer complaints concerning financial services and products.
http://www.consumerfinance.gov/newsroom/cfpb-report-shows-complaints-rose-80-percent-in-2013/
CFPB TILA-RESPA Rule Compliance Guide Released
On March 31, 2014 the CFPB released its Small Entity Compliance Guide for the TILA-RESPA Integrated Disclosure Rule. The guide highlights issues that financial institutions might find helpful to consider when implementing the rule. It may also be helpful to settlement service providers, software providers, secondary market participants, and other firms that serve as business partners to creditors. The Bureau also posted links to several other resources—including sample forms annotated with rule citations—designed to assist lenders and others in their compliance efforts.
http://www.consumerfinance.gov/regulatory-implementation/tila-respa/?utm_source=newsletter&utm_medium=email&utm_campaign=20140331+regimp
Agencies Propose Appraisal Management Company Requirements
On March 25, 2014 the OCC, FRB, FDIC, CFPB, FHFA and NCUA jointly announced a proposed rule that would implement minimum requirements for state registration and supervision of appraisal management companies (AMCs). The minimum requirements in the proposed rule would apply to states that elect to establish an appraiser certifying and licensing agency with the authority to register and supervise AMCs. The proposed rule would not compel a state to establish an AMC registration and supervision program, and there is no penalty imposed on a state that does not establish such a program. However, an AMC would be barred by section 1124 of FIRREA (as amended by the Dodd-Frank Act) from providing appraisal management services for federally related transactions in a state that has not established such a regulatory structure. http://www.occ.gov/news-issuances/news-releases/2014/nr-ia-2014-42.html
Federal Reserve releases summary results of bank stress tests According to the summary results of bank stress tests announced by the Federal Reserve on Thursday, the largest banking institutions in the United States are collectively better positioned to continue to lend to households and businesses and to meet their financial commitments in an extremely severe economic downturn than they were five years ago. This result reflects continued broad improvement in their capital positions since the financial crisis. http://www.federalreserve.gov/newsevents/press/bcreg/20140320a.htm
Federal Reserve issues FOMC statement Information received since the Federal Open Market Committee met in January indicates that growth in economic activity slowed during the winter months, in part reflecting adverse weather conditions. Labor market indicators were mixed but on balance showed further improvement. The unemployment rate, however, remains elevated. Household spending and business fixed investment continued to advance, while the recovery in the housing sector remained slow. Fiscal policy is restraining economic growth, although the extent of restraint is diminishing. Inflation has been running below the Committee's longer-run objective, but longer-term inflation expectations have remained stable. http://www.federalreserve.gov/newsevents/press/monetary/20140319a.htm
Interagency Examination Procedures for Consumer Compliance The Office of the Comptroller of the Currency (OCC), as a member of the Federal Financial Institutions Examination Council, has adopted the attached interagency examination procedures reflecting new mortgage rules requirements pursuant to the Dodd-Frank Wall Street Reform and Consumer Protection Act. The OCC is in the process of incorporating these new procedures into the Comptroller’s Handbook “Consumer Compliance” series. Until the OCC issues updated Handbook booklets for the Truth in Lending Act (TILA) and the Real Estate Settlement Procedures Act (RESPA), the approved interagency procedures are posted on the OCC Web site. http://www.occ.treas.gov/news-issuances/bulletins/2014/bulletin-2014-7.html
Interim Final Rule: Basel III Conforming Amendments
http://www.occ.treas.gov/news-issuances/bulletins/2014/bulletin-2014-6.html
Agencies Issue Final Dodd-Frank Act Stress Test Guidance for Medium-Sized Firms Three federal bank regulatory agencies are issuing final guidance describing supervisory expectations for stress tests conducted by financial companies with total consolidated assets between $10 billion and $50 billion. http://www.federalreserve.gov/newsevents/press/bcreg/20140305a.htm
Federal Reserve Board announces 30-day comment period extension for proposed rulemaking regarding physical commodity activities conducted by financial holding companies The public will have an additional 30 days to comment on an advance notice of proposed rulemaking regarding physical commodity activities conducted by financial holding companies, the Federal Reserve Board said Thursday. Comments are now due April 16, 2014. http://www.federalreserve.gov/newsevents/press/bcreg/20140227a.htm
CFPB Calls on Top Credit Card Companies to Make Credit Scores Available to Consumersthe Consumer Financial Protection Bureau (CFPB) called on the nation’s top credit card companies to make credit scores and related content freely available to their custom
the Consumer Financial Protection Bureau (CFPB) called on the nation’s top credit card companies to make credit scores and related content freely available to their customers. A report released by the CFPB today found accuracy issues top the list of credit reporting complaints the Bureau received from consumers. The CFPB also warned companies that provide information to credit reporting agencies not to avoid investigating consumer disputes.
Federal Reserve Board to begin publishing semi-annual report with aggregate data and other information regarding banking applications The report will be released in the second half of 2014 and include statistics on the length of time taken to process applications and notices, the number of approvals, denials, and withdrawals, and the primary reasons for withdrawals. http://www.federalreserve.gov/newsevents/press/bcreg/20140224a.htm
The final rule establishes a number of enhanced prudential standards for large U.S. bank holding companies and foreign banking organizations to help increase the resiliency of their operations. These standards include liquidity, risk management, and capital. It also requires a foreign banking organization with a significant U.S. presence to establish an intermediate holding company over its U.S. subsidiaries, which will facilitate consistent supervision and regulation of the U.S. operations of the foreign bank. The final rule was required by section 165 of the Dodd-Frank Wall Street Reform and Consumer Protection Act. http://www.federalreserve.gov/newsevents/press/bcreg/20140218a.htm
Federal Reserve seeks comment on repealing its Regulations DD and P and amending Regulation V The Federal Reserve Board requested comment on proposals to repeal its Regulation DD (Truth in Savings) and Regulation P (Privacy of Consumer Financial Information) and to make amendments to the Identity Theft Red Flags rule in Regulation V (Fair Credit Reporting). http://www.federalreserve.gov/newsevents/press/bcreg/20140212a.htm
Consumer Financial Protection Bureau (CFPB) is taking steps to improve information reported about the residential mortgage market to help better understand borrowers’ access to credit. As a first step in the rulemaking process, the CFPB is convening a panel of small businesses to provide feedback on potential changes to mortgage information reported under the Home Mortgage Disclosure Act (HMDA). Today the Bureau is also unveiling a new online tool that makes it easier to navigate the publicly available HMDA data.
http://www.consumerfinance.gov/newsroom/cfpb-takes-steps-to-improve-information-about-access-to-credit-in-the-mortgage-market/
The Consumer Financial Protection Bureau (CFPB) issued a report highlighting problems like unfair and deceptive practices in the mortgage servicing market uncovered through the Bureau’s supervision program in 2013. The report also notes that, between July and October 2013, consumers received $2.6 million as result of overall non-public supervisory activities at the banks and nonbanks the CFPB oversees. http://www.consumerfinance.gov/newsroom/cfpb-supervision-report-highlights-mortgage-servicing-problems-in-2013/
NCUA approves final derivatives investment rule A proposal that will allow well-run federal credit unions to use simple derivatives to hedge against interest rate risks has just been approved at today's National Credit Union Administration board meeting.
http://www.cuna.org/WebAssets/Pages/NewsNowArticle.aspx?id=67548&blogid=451&b=true
Appeals court to closely examine lower court interchange ruling U.S. Court of Appeals for the District of Columbia Circuit Judges David Tatel, Harry Edwards, and Stephen Williams asked questions at oral arguments today that cast doubt that they will fall in line with a lower court ruling that sought to overturn the Federal Reserve's debit interchange fee cap regulations.
http://www.cuna.org/WebAssets/Pages/newsnowarticle.aspx?id=67434&blogid=451
Five federal agencies on Tuesday approved an interim final rule to permit banking entities to retain interests in certain collateralized debt obligations backed primarily by trust preferred securities (TruPS CDOs) from the investment prohibitions of section 619 of the Dodd-Frank Wall Street Reform and Consumer Protection Act, known as the Volcker rule. http://www.federalreserve.gov/newsevents/press/bcreg/20140114b.htm
Federal Reserve Board requests comment on proposed revisions to Regulation HH and Payment System Risk policy The Federal Reserve Board on Friday requested comment on proposed revisions to the Regulation HH risk-management standards for certain financial market utilities that have been designated as systemically important by the Financial Stability Oversight Council, including those for which the Board is the Supervisory Agency pursuant to Title VIII of the Dodd-Frank Wall Street Reform and Consumer Protection Act. The Board also requested comment on related revisions to part I of the Federal Reserve Policy on Payment System Risk (PSR policy), which is applicable to financial market infrastructures (FMIs) more generally, including those operated by the Federal Reserve Banks. http://www.federalreserve.gov/newsevents/press/other/20140110b.htm
http://www.consumerfinance.gov/newsroom/new-mortgage-rules-protect-american-dream/
The Consumer Financial Protection Bureau (CFPB) released additional resources for consumers as part of its campaign to educate the public about the new protections provided by the Bureau’s mortgage rules. These new materials include sample letters that consumers can send to their mortgage servicers. The Bureau is publishing these educational materials in anticipation of the January 10, 2014 effective dates for its mortgage rules. http://www.consumerfinance.gov/newsroom/cfpb-releases-new-mortgage-rule-resources-for-consumers/
The Consumer Financial Protection Bureau (CFPB) issued a final rule adjusting the asset-size exemption threshold for banks, savings associations, and credit unions under Regulation C, which implements the Home Mortgage Disclosure Act (HMDA).
http://www.consumerfinance.gov/newsroom/consumer-financial-protection-bureau-announces-increase-in-home-mortgage-disclosure-act-asset-size-exemption-threshold-2/
The Consumer Financial Protection Bureau (CFPB) issued a final rule adjusting the asset-size threshold for certain creditors to qualify for an exemption from the requirement to establish an escrow account for a higher-priced mortgage loan under Regulation Z, which implements the Truth in Lending Act (TILA).
http://www.consumerfinance.gov/newsroom/consumer-financial-protection-bureau-announces-increase-in-higher-priced-mortgage-loans-escrow-account-asset-size-threshold/
Agencies Reviewing Treatment of Collateralized Debt Obligations Backed by Trust Preferred Securities under Final Rules Implementing the "Volcker rule" The Federal Reserve Board, the Federal Deposit Insurance Corporation, the Office of the Comptroller of the Currency, and the Securities and Exchange Commission said they are reviewing whether it would be appropriate and consistent with the Dodd-Frank Wall Street Reform and Consumer Protection Act not to subject collateralized debt obligations backed by trust preferred securities to the investment prohibitions of section 619 of Dodd-Frank, otherwise known as the "Volcker rule." http://www.federalreserve.gov/newsevents/press/bcreg/20131227a.htm
Agencies Release Annual CRA Asset-Size Threshold Adjustments for Small and Intermediate Small Institutions The federal bank regulatory agencies announced the annual adjustment to the asset-size thresholds used to define small bank, small savings association, intermediate small bank, and intermediate small savings association under the Community Reinvestment Act (CRA) regulations. http://www.federalreserve.gov/newsevents/press/bcreg/20131219c.htm
CONSUMER FINANCIAL PROTECTION BUREAU CALLS ON CFPB Calls on Financial Institutions to Publicly Disclose Campus Financial Agreements
The Consumer Financial Protection Bureau (CFPB) called on financial institutions to publicly disclose agreements with colleges and universities to market debit, prepaid, and other products to students. Currently, institutions only make these disclosures about college credit cards. The CFPB also released its annual report on college credit card agreements, which showed a decline of 23 percent in college agreements from 2011 to 2012.
http://www.consumerfinance.gov/newsroom/cfpb-calls-on-financial-institutions-to-publicly-disclose-campus-financial-agreements/
Six federal financial regulatory agencies issued a final rule that creates exemptions from certain appraisal requirements for a subset of higher-priced mortgage loans. The exemptions are intended to save borrowers time and money while still ensuring that the loans are financially sound.
http://www.consumerfinance.gov/newsroom/agencies-issue-final-rule-to-exempt-subset-of-higher-priced-mortgage-loans-from-appraisal-requirements/
Federal Reserve Board issues final rule aligning market risk capital rule with Basel III The Federal Reserve Board on Friday issued a final rule that makes technical changes to the Board's market risk capital rule to align it with the Basel III revised capital framework adopted by the Board earlier this year. http://www.federalreserve.gov/newsevents/press/bcreg/20131206a.htm
Federal Reserve Board releases guidance reminding financial institutions to exercise appropriate risk management and oversight when using service providers The guidance describes factors financial institutions should consider when choosing a service provider and how service providers should be overseen. A service provider is defined as any organization or entity--such as a consultant--that enters into a contractual relationship with a financial institution to provide business functions or activities, such as accounting, auditing, loan review, compliance, and risk management. http://www.federalreserve.gov/newsevents/press/bcreg/20131205a.htm
Federal Reserve Board announces final rule regarding Federal Reserve Bank accounts and services for financial market utilities designated as systemically important The Federal Reserve Board issued a final rule that amends Regulation HH to set out the conditions and requirements for a Federal Reserve Bank to open and maintain accounts for and provide financial services to financial market utilities designated as systemically important by the Financial Stability Oversight Council. http://www.federalreserve.gov/newsevents/press/bcreg/20131205b.htm
The Consumer Financial Protection Bureau (CFPB) issued a rule that allows the Bureau to supervise certain nonbank student loan servicers for the first time. The rule brings new oversight to the nation’s second largest consumer debt market – student loans – which have seen a rise in borrower delinquency in recent years. http://www.consumerfinance.gov/newsroom/cfpb-to-oversee-nonbank-student-loan-servicers/
FinCEN, Federal Reserve Finalize Rule Amending Definitions in the Bank Secrecy Act The Financial Crimes Enforcement Network (FinCEN), a bureau of the U.S. Department of the Treasury, and the Federal Reserve Board on Tuesday announced a final rule amending the definitions of "funds transfer" and "transmittal of funds" under regulations implementing the Bank Secrecy Act. The final rule adopts the amendments as proposed in November 2012. http://www.federalreserve.gov/newsevents/press/bcreg/20131203a.htm
Federal Reserve requests comment on proposed changes to Policy on Payment System Risk The Federal Reserve Board requested public comment on proposed changes to part II of the Federal Reserve Policy on Payment System Risk (PSR policy) that are designed to enhance the efficiency of the payment system. The proposed changes are largely related to the posting rules for automated clearing house (ACH) and commercial check transactions. http://www.federalreserve.gov/newsevents/press/other/20131127a.htm
The National Credit Union Administration Board convened its tenth scheduled open meeting of 2013 at the agency’s headquarters. The Board announced that it anticipates that federally insured credit unions will pay no Corporate Stabilization Fund assessment in 2014. The Board also unanimously approved four items:
http://www.ncua.gov/about/Pages/Board%20Actions/BAB20131121.aspx
http://www.consumerfinance.gov/newsroom/director-cordray-remarks-at-the-clearing-house-annual-conference/
The Consumer Financial Protection Bureau (CFPB) is issuing a rule requiring easier-to-use mortgage disclosure forms that clearly lay out the terms of a mortgage for a homebuyer. The new “Know Before You Owe” mortgage forms will replace the existing federal disclosures and help consumers understand their options, choose the deal that’s best for them, and avoid costly surprises at the closing table.
The Federal Reserve Board and the Consumer Financial Protection Bureau (CFPB) today announced they are increasing the dollar thresholds in Regulation Z (Truth in Lending) and Regulation M (Consumer Leasing) for exempt consumer credit and lease transactions. Transactions at or below the thresholds are subject to the protections of the regulations. http://www.federalreserve.gov/newsevents/press/bcreg/20131120a.htm
http://www.consumerfinance.gov/newsroom/director-cordray-remarks-at-the-know-before-you-owe-mortgage-field-hearing/
The Consumer Financial Protection Bureau published a report analyzing the amount of money spent on providing financial education to consumers and the amount spent trying to influence consumers’ decisions about financial products. The report found that for every dollar put towards financial education, $25 is spent on financial marketing, which can make it difficult for consumers to find objective information.
http://www.consumerfinance.gov/newsroom/the-cfpb-finds-financial-education-programs-are-significantly-outspent-by-financial-marketing/
The federal bank regulatory agencies with responsibility for Community Reinvestment Act (CRA) rulemaking today published final revisions to "Interagency Questions and Answers Regarding Community Reinvestment." The Questions and Answers document provides additional guidance to financial institutions and the public on the agencies' CRA regulations
http://www.federalreserve.gov/newsevents/press/bcreg/20131115a.htm
Use and Review of Independent Consultants in Enforcement This bulletin provides guidance and establishes standards that the Office of the Comptroller of the Currency (OCC) uses when it requires national banks, federal savings associations, or federal branches or agencies (collectively, banks) to employ independent consultants as part of an enforcement action to address significant violations of law, fraud, or harm to consumers.
http://www.occ.treas.gov/news-issuances/bulletins/2013/bulletin-2013-33.html
CFPB Considers Debt Collection RulesThe Consumer Financial Protection Bureau (CFPB) today took the first step toward considering consumer protection rules for the debt collection market. Through its Advance Notice of Proposed Rulemaking (ANPR), the Bureau
The Consumer Financial Protection Bureau (CFPB) today took the first step toward considering consumer protection rules for the debt collection market. Through its Advance Notice of Proposed Rulemaking (ANPR), the Bureau is collecting information on a wide array of issues, including the accuracy of information used by debt collectors, how to ensure consumers know their rights, and the communication tactics collectors employ to recover debts. The Bureau also announced today that it will begin adding consumer complaints about debt collections to its public Consumer Complaint Database. http://www.consumerfinance.gov/newsroom/cfpb-considers-debt-collection-rules/
http://www.consumerfinance.gov/newsroom/director-cordray-remarks-at-the-debt-collection-advance-notice-of-proposed-rulemaking-press-call/
Federal Reserve Board announces annual indexing of reserve requirement exemption amount and of low reserve tranche for 2014 The Federal Reserve Board announced the annual indexing of the amounts used in determining reserve requirements of depository institutions and deposit reporting panels effective in 2014. http://www.federalreserve.gov/newsevents/press/bcreg/20131105a.htm
The Federal Reserve Board on Friday issued the supervisory scenarios that will be used in the 2014 capital planning and stress testing program, as well as instructions to firms with timelines for submissions. The program includes the Comprehensive Capital Analysis and Review (CCAR) of 30 bank holding companies with $50 billion or more of total consolidated assets. http://www.federalreserve.gov/newsevents/press/bcreg/20131101a.htm
NCUA Releases New Economic Analysis
In the latest installment in the agency’s Economic Update series, NCUA’s Chief Economist John Worth provides commentary on the effects of the recent partial federal government shutdown and mid-October budget agreement on labor markets, consumer confidence and the interest rate environment. http://www.ncua.gov/News/Pages/NW20131029EconomicUpdate.aspx
The Consumer Financial Protection Bureau (CFPB) published four guides to help financial caregivers, particularly those who handle the finances of older Americans, carry out their duties and responsibilities in managing someone else’s money.
http://www.consumerfinance.gov/newsroom/cfpb-releases-guides-for-managing-someone-elses-money/
The Consumer Financial Protection Bureau (CFPB) is launching a nationwide multimedia campaign to inform consumers who send money internationally about new protections that go into effect today. The protections are contained in a rule that was finalized earlier this year.
http://www.consumerfinance.gov/newsroom/cfpb-launches-education-campaign-about-new-international-money-transfer-protections/
Federal Reserve Board proposes rule to strengthen liquidity positions of large financial institutions The proposal would for the first time create a standardized minimum liquidity requirement for large and internationally active banking organizations and systemically important, non-bank financial companies designated by the Financial Stability Oversight Council. These institutions would be required to hold minimum amounts of high-quality, liquid assets such as central bank reserves and government and corporate debt that can be converted easily and quickly into cash. Each institution would be required to hold liquidity in an amount equal to or greater than its projected cash outflows minus its projected cash inflows during a short-term stress period. The ratio of the firm's liquid assets to its projected net cash outflow is its "liquidity coverage ratio," or LCR. http://www.federalreserve.gov/newsevents/press/bcreg/20131024a.htm
http://www.ncua.gov/about/Pages/Board%20Actions/BAB20131024.aspx
Six federal financial regulatory agencies are proposing joint standards for assessing the diversity policies and practices of the institutions they regulate. http://www.consumerfinance.gov/newsroom/federal-financial-regulators-proposing-joint-standards-for-assessing-diversity-policies-and-practices-of-regulated-entities-pursuant-to-section-342-of-the-dodd-frank-act/
Five federal regulatory agencies issued a statement to address industry questions about fair lending risks associated with offering only Qualified Mortgages. Creditors have asked for clarity regarding whether the disparate impact doctrine of the Equal Credit Opportunity Act (ECOA) and its implementing regulation, Regulation B, allows them to originate only Qualified Mortgages. For the reasons described in the statement, the five agencies do not anticipate that a creditor’s decision to offer only Qualified Mortgages would, absent other factors, elevate a supervised institution’s fair lending risk.
http://www.consumerfinance.gov/newsroom/federal-regulators-provide-guidance-on-qualified-mortgage-fair-lending-risks/
http://www.consumerfinance.gov/newsroom/cfpb-provides-guidance-on-mortgage-servicing-rules/
http://fdic.gov/news/news/press/2013/pr13090.html
http://fdic.gov/news/news/press/2013/pr13089.html
Board of Governors of the Federal Reserve System Consumer Financial Protection Bureau Federal Deposit Insurance Corporation National Credit Union Administration Office of the Comptroller of the Currency Washington, DC – Five federal regulatory agencies encourage financial institutions to work with customers affected by the federal government shutdown.
http://www.consumerfinance.gov/newsroom/regulators-encourage-institutions-to-work-with-borrowers-affected-by-government-shutdown/
Consumer Financial Protection Bureau (CFPB) ordered Mortgage Master, Inc. and Washington Federal to pay civil penalties for violating the Home Mortgage Disclosure Act (HMDA), which requires certain mortgage lenders to accurately collect and report data about home mortgage loans. Mortgage Master will pay $425,000 and Washington Federal will pay $34,000 in civil penalties. The CFPB is also releasing a bulletin today that puts mortgage lenders on notice about the importance of submitting correct mortgage loan information under HMDA. http://www.consumerfinance.gov/newsroom/cfpb-takes-action-against-nonbank-and-bank-for-inaccurate-mortgage-loan-reporting/
The Consumer Financial Protection Bureau (CFPB) released a report detailing how the Credit Card Accountability Responsibility and Disclosure Act of 2009 (CARD Act) reduced penalty fees and made the cost of credit cards clearer to consumers. The report found that total cost of credit declined by two percentage points between 2008 and 2012 but that there are still areas of concern in the credit card market.
On the eve of Cybersecurity Awareness Month, National Credit Union Administration Board Chairman Debbie Matz reminded credit unions about the importance of fighting cybercrime and protecting online the personal and financial information of their members.
http://www.ncua.gov/News/Pages/NW20130930Cybersecurity.aspx
http://www.consumerfinance.gov/newsroom/federal-regulators-issue-guidance-on-reporting-financial-abuse-of-older-adults/
NCUA Letter: Credit Unions Can and Should Report Financial Abuse of Seniors
The National Credit Union Administration reminded federally insured credit unions they can alert authorities if they suspect an older member is the victim of financial abuse or exploitation without violating the member’s privacy.
http://www.ncua.gov/News/Pages/NW20130924LetterCU.aspx
Rules to implement the Basel III capital reforms in the United States were finalized in July, and will be phased-in beginning in 2014 or 2015, depending on the size of the banking organization. The planning horizon for the next capital planning and stress testing cycle runs from the fourth quarter of 2013 through the fourth quarter of 2015. Thus, the next capital planning and stress testing cycle, which begins October 1, overlaps with the implementation of the Basel III capital reforms. http://www.federalreserve.gov/newsevents/press/bcreg/20130924b.htm
The Consumer Financial Protection Bureau (CFPB) finalized amendments and clarifications to its January 2013 mortgage rules in order to help industry comply and to better protect consumers. The changes made today answer questions that have been identified during the implementation process.
http://www.consumerfinance.gov/pressreleases/cfpb-finalizes-modifications-to-mortgage-rules/
FDIC Approves Final Rule on the Definition of Deposit at Foreign Branches of U.S. Banks to Clarify That These Deposits are Not Insured by the FDIC The Board of Directors of the Federal Deposit Insurance Corporation (FDIC) approved a final rule clarifying that deposits in foreign branches of U.S. banks are not FDIC-insured, even though they can be deposits for purposes of the national depositor preference statute enacted in 1993.
http://fdic.gov/news/news/press/2013/pr13081.html
http://fdic.gov/news/news/press/2013/pr13080.html
The Consumer Financial Protection Bureau (CFPB) put on notice companies that supply information to consumer reporting companies. The CFPB released a bulletin stressing that, under the law, these companies, called furnishers, are responsible for investigating consumer disputes forwarded by the consumer reporting companies. Furnishers are also responsible for reviewing all relevant information provided with the disputes, including documents submitted by consumers.
http://www.consumerfinance.gov/pressreleases/cfpb-puts-companies-on-notice-about-duty-to-investigate-consumer-credit-report-disputes/
The Federal Reserve Board and the Federal Deposit Insurance Corporation (FDIC) released an optional model template for tailored resolution plans that certain firms will be submitting for the first time later this year.
http://fdic.gov/news/news/press/2013/pr13078.html
Six federal agencies issued a notice revising a proposed rule requiring sponsors of securitization transactions to retain risk in those transactions. The new proposal revises a proposed rule the agencies issued in 2011 to implement the risk retention requirement in the Dodd-Frank Wall Street Reform and Consumer Protection Act (Dodd-Frank Act).
http://www.occ.treas.gov/news-issuances/news-releases/2013/nr-ia-2013-128.html
The Consumer Financial Protection Bureau (CFPB) released a second update to its exam procedures in connection with the new mortgage regulations issued in January 2013. The interim exam procedures offer valuable guidance to financial institutions and mortgage companies on what the CFPB will be looking for as the rules become effective. http://www.consumerfinance.gov/pressreleases/41199/
One year after the National Credit Union Administration announced its low-income credit union initiative, the number of designated credit unions has grown significantly, creating the potential for greater community investment and access to financial services in underserved communities, Board Chairman Debbie Matz announced today.
http://www.ncua.gov/News/Pages/NW20130807LowIncome.aspx
Agencies Seek Comment on Dodd-Frank Act Stress Test Guidance for Medium-Sized Firms Three federal bank regulatory agencies are seeking comment on proposed guidance describing supervisory expectations for stress tests conducted by financial companies with total consolidated assets between $10 billion and $50 billion. http://www.federalreserve.gov/newsevents/press/bcreg/20130730a.htm
The Consumer Financial Protection Bureau unveiled its financial education strategy in its first annual Financial Literacy Report to Congress. The report details the Bureau’s three-pronged approach to improving financial literacy opportunities for consumers: education initiatives, evidence-based research, and outreach to consumers and financial education stakeholders. http://www.consumerfinance.gov/pressreleases/consumer-financial-protection-bureau-unveils-approach-to-financial-education/
The Consumer Financial Protection Bureau (CFPB) put companies on notice through bulletins advising that all companies under Bureau jurisdiction will be held accountable for unlawful conduct in collecting a consumer’s debts. The CFPB also announced that it is now accepting debt collection complaints and is publishing action letters for consumers to consider using in corresponding with debt collectors.
Six federal financial regulatory agencies issued a proposed rule that would create exemptions from certain appraisal requirements for a subset of higher-priced mortgage loans. The proposed exemptions are intended to save borrowers time and money and to promote the safety and soundness of creditors. The appraisal requirements for higher-priced mortgages were imposed by the Dodd-Frank Wall Street Reform and Consumer Protection Act (Dodd-Frank Act). Under the Dodd-Frank Act, mortgage loans are considered to be higher-priced if they are secured by a consumer’s home and have interest rates above a certain threshold. http://www.consumerfinance.gov/pressreleases/agencies-issue-proposed-rule-to-exempt-subset-of-higher-priced-mortgage-loans-from-appraisal-requirements/
The Consumer Financial Protection Bureau (CFPB) finalized corrections, clarifications, and amendments to its Ability-to-Repay and mortgage servicing rules. Today’s clarifications were first proposed in April 2013 and reflect the Bureau’s commitment to facilitating implementation in order to better protect consumers. http://www.consumerfinance.gov/pressreleases/cfpb-finalizes-april-clarifications-to-mortgage-rules/
Federal Reserve Board proposes new data collection requirements related to money market instruments The Federal Reserve Board proposed new data collection requirements related to selected money market instruments. To assist the Federal Reserve in monitoring money market conditions, the proposal would require insured depository institutions with total assets of $26 billion or more, and U.S. branches and agencies of foreign banks with third party assets of $900 million or more, to report daily to the Federal Reserve on their federal funds transactions, Eurodollar transactions, and certificates of deposit. http://www.federalreserve.gov/newsevents/press/bcreg/20130625a.htm
The Consumer Financial Protection Bureau (CFPB) proposed clarifications and some narrow revisions to its January 2013 mortgage rules. The proposal issued today would resolve questions that have been identified during the implementation process and would help the rules deliver their intended value for consumers.
http://www.consumerfinance.gov/pressreleases/cfpb-issues-proposed-modifications-to-mortgage-rules/
The Federal Deposit Insurance Corporation (FDIC) and Consumer Financial Protection Bureau (CFPB) launched a new financial resource tool, Money Smart for Older Adults, to help older adults and their caregivers prevent elder financial exploitation across the country. The newest addition to the FDIC’s Money Smart financial curriculum family, this stand-alone training module developed by both agencies provides information to raise awareness among older adults (age 62 and older) and their caregivers on how to prevent, identify and respond to elder financial exploitation, plan for a secure financial future, and make informed financial decisions. The instructor-led module offers practical information that can be implemented immediately. Money Smart for Older Adults is designed to be delivered to older adults and their caregivers by representative of financial institutions, adult protective service agencies, senior advocacy organizations, law enforcement, and others that serve this population. http://www.consumerfinance.gov/pressreleases/fdic-and-cfpb-collaborate-to-develop-a-tool-for-older-adults-to-prevent-financial-exploitation/
The Consumer Financial Protection Bureau (CFPB) released a report on bank and credit union overdraft practices that raises concerns about whether the overdraft costs on consumer checking accounts can be anticipated and avoided. The report shows big differences across financial institutions when it comes to overdraft coverage on debit card transactions and ATM withdrawals, drawing into question how banks sell this account feature. The report also finds that consumers who opt in for overdraft coverage end up with more costs and more involuntary account closures.
http://www.consumerfinance.gov/pressreleases/cfpb-report-raises-concerns-about-impact-of-overdraft-practices-on-consumers/
Federal Reserve Board approves interim final rule on treatment of uninsured U.S. branches and agencies of foreign banks under section 716 of Dodd-Frank The Federal Reserve Board on Wednesday approved an interim final rule clarifying the treatment of uninsured U.S. branches and agencies of foreign banks under the so-called swaps push-out provision of the Dodd-Frank Wall Street Reform and Consumer Protection Act. http://www.federalreserve.gov/newsevents/press/bcreg/20130605a.htm
The Consumer Financial Protection Bureau (CFPB) published the first update to its exam procedures for the new mortgage regulations it issued in January 2013. The exam procedures offer financial institutions and mortgage companies valuable guidance on what the CFPB will be looking for as the rules become effective. The new regulations include those on appraisals, escrow accounts, and compensation and qualifications for loan originators. http://www.consumerfinance.gov/pressreleases/the-cfpb-releases-exam-procedures-for-new-mortgage-rules/
The Consumer Financial Protection Bureau (CFPB) expanded its Consumer Complaint Database to include state-by-state information. The CFPB also added complaints about money transfers and credit reporting to the database. http://www.consumerfinance.gov/pressreleases/cfpb-complaint-data-now-searchable-by-state/
Credit Union Delinquencies, Charge-offs Fall
Federally insured credit unions experienced a decline in delinquencies and charge-offs in the first quarter of 2013, while loans grew faster than in any first quarter since 2008, the National Credit Union Administration reported today. The data reflect continuing overall improvement in the credit union industry’s performance.
http://www.ncua.gov/News/Pages/NW20130530PACAFacts.aspx
The Consumer Financial Protection Bureau (CFPB) finalized rules to facilitate access to credit by creating specific exemptions and modifications to the CFPB’s Ability-to-Repay rule for small creditors, community development lenders, and housing stabilization programs. The amendments also revised rules on how to calculate loan origination compensation for certain purposes. Today’s final rule amends the CFPB’s Ability-to-Repay rule, which was finalized in January of this year.
http://www.consumerfinance.gov/pressreleases/cfpb-finalizes-amendments-to-ability-to-repay-rule/
Exemption for small debit card issuers from interchange fee standards working as intended The exemption designed to protect small debit card issuers from interchange fee standards applied to large issuers is working as intended, a Federal Reserve Board report released Thursday showed. http://www.federalreserve.gov/newsevents/press/bcreg/20130523a.htm
The Consumer Financial Protection Bureau (CFPB) and the Conference of State Bank Supervisors (CSBS), acting on behalf of state financial regulatory authorities, announced a framework which establishes a process for coordination on supervision and enforcement matters. The framework will apply in situations where the CFPB and state regulators share concurrent supervisory jurisdiction.
http://www.consumerfinance.gov/pressreleases/the-cfpb-establishes-framework-to-better-coordinate-with-state-regulators/
Federal Reserve Board announces that results of company-run, midyear stress tests are due on July 5 Eighteen large U.S. bank holding companies are required to submit the results of their company-run, midyear stress tests to the Federal Reserve on July 5, the Federal Reserve said in instructions to those firms Monday. http://www.federalreserve.gov/newsevents/press/bcreg/20130513a.htm
The Consumer Financial Protection Bureau (CFPB) published a report highlighting the ways in which student loan debt can be a roadblock to a full financial life for consumers. The report discusses options based on public input for policymakers and market participants to consider in order to help borrowers manage their private student loan debt. http://www.consumerfinance.gov/pressreleases/report-highlights-student-debt-as-a-roadblock-to-opportunity-for-consumers/
The Consumer Financial Protection Bureau (CFPB) revised its rule that creates certain protections for consumers who transfer money internationally. The revisions are intended to preserve the new consumer protections provided under the rule while facilitating industry’s compliance with the rule. The rule will take effect on October 28, 2013.
http://www.consumerfinance.gov/pressreleases/cfpb-revises-rule-protecting-consumers-sending-money-internationally/
The Consumer Financial Protection Bureau (CFPB) published a report highlighting problems with so-called “senior designation” credentials that many financial advisers use to market their services to older Americans. The Bureau found that there are more than 50 different senior designations that financial advisers use to indicate that they have advanced training or expertise in the financial needs of older consumers. These designations can confuse older consumers, who are already at risk for deception and fraud.
http://www.consumerfinance.gov/pressreleases/cfpb-report-highlights-problems-older-americans-have-with-confusing-financial-advising-industry/
The National Credit Union Administration (NCUA) Board convened its fourth scheduled open meeting of 2013 at the agency’s headquarters here today. The Board received updates on the performance of the National Credit Union Share Insurance Fund (Share Insurance Fund) and Temporary Corporate Credit Union Stabilization Fund (Stabilization Fund) for the first quarter of 2013. http://www.ncua.gov/about/Pages/Board%20Actions/BAB20130418.aspx
The Consumer Financial Protection Bureau (CFPB) today announced four enforcement actions to end what the Bureau believes to be improper kickbacks paid by mortgage insurers to mortgage lenders in exchange for business. The CFPB filed complaints and proposed consent orders against four national mortgage insurance companies in order to stop these practices, which have been prevalent for more than 10 years. The proposed orders require the four mortgage insurers to pay more than $15 million in penalties to the CFPB.
Federal Reserve Board finalizes standards for Fed-regulated banks engaged in certain types of foreign exchange transactions with retail customers The Federal Reserve Board announced the finalization of standards for banking organizations regulated by the Federal Reserve that engage in certain types of foreign exchange transactions with retail customers. http://www.federalreserve.gov/newsevents/press/bcreg/20130404a.htm
Consumer Financial Protection Bureau finalizes Credit CARD Act Rule
http://www.consumerfinance.gov/pressreleases/consumer-financial-protection-bureau-finalizes-credit-card-act-rule/
Agencies Issue Updated Leveraged Lending Guidance Federal bank regulatory agencies released updated supervisory guidance on leveraged lending, which has been increasing since 2009 after declining during the financial crisis. The guidance from the Federal Reserve Board, the Federal Deposit Insurance Corporation, and Office of the Comptroller of the Currency (the agencies) covers transactions characterized by a borrower with a degree of financial leverage that significantly exceeds industry norms. The guidance replaces guidance issued in April 2001. http://www.federalreserve.gov/newsevents/press/bcreg/20130321a.htm
The federal bank regulatory agencies today requested comment on proposed revisions to "Interagency Questions and Answers Regarding Community Reinvestment." The Questions and Answers document provides additional guidance to financial institutions and the public on the agencies' Community Reinvestment Act (CRA) regulations. http://www.federalreserve.gov/newsevents/press/bcreg/20130318a.htm
Consumer Financial Protection Bureau proposes rule to oversee nonbank student loan servicers
The Consumer Financial Protection Bureau (CFPB) proposed a rule that would allow it to federally supervise certain nonbank student loan servicers for the first time. The rule would bring new oversight to a rapidly growing market that has seen a rise in borrower delinquency in recent years. http://www.consumerfinance.gov/pressreleases/consumer-financial-protection-bureau-proposes-rule-to-oversee-nonbank-student-loan-servicers/
The Board of Directors of the Federal Deposit Insurance Corporation (FDIC) approved a notice of proposed rulemaking to clarify that while deposits in foreign branches of U.S. banks can be deposits for purposes of the national depositor preference statute enacted in 1993, they are not FDIC-insured. Currently, under the Federal Deposit Insurance Act, money deposited in foreign branches of U.S. banks are not considered deposits, unless the funds are payable in the U.S. A recent proposal by the United Kingdom's Financial Services Authority (FSA) relating to the effect of national depositor preference laws makes it likely that large U.S. banks will change their deposit agreements to make their U.K. branch deposits payable in both the U.K. and U.S.
http://fdic.gov/news/news/press/2013/pr13009.html
The Consumer Financial Protection Bureau (CFPB) issued a bulletin advising mortgage companies about their legal obligations that protect consumers during loan transfers between mortgage servicers. When handing over the processing of loans, mortgage servicers should not lose paperwork, lose track of a homeowner’s loss mitigation plans, or hinder a consumer’s chances of saving their home from unnecessary foreclosure. The CFPB has a heightened concern about these practices given the large number and size of recent servicing transfers.
http://www.consumerfinance.gov/pressreleases/consumer-financial-protection-bureau-reminds-mortgage-servicers-of-legal-protections-for-consumers-when-transferring-loans/
The Federal Deposit Insurance Corporation (FDIC) issued its list of state nonmember banks recently evaluated for compliance with the Community Reinvestment Act (CRA). The list covers evaluation ratings that the FDIC assigned to institutions in November 2012. The CRA is a 1977 law intended to encourage insured banks and thrifts to meet local credit needs, including those of low- and moderate-income neighborhoods, consistent with safe and sound operations. As part of the Financial Institutions Reform, Recovery, and Enforcement Act of 1989 (FIRREA), Congress mandated the public disclosure of an evaluation and rating for each bank or thrift that undergoes a CRA examination on or after July 1, 1990.
http://fdic.gov/news/news/press/2013/pr13008.html
The Consumer Financial Protection Bureau (CFPB) announced that it is launching an inquiry into the impact of financial products marketed to students through colleges and universities. The CFPB intends to use the information gathered to determine whether these arrangements are in the best interest of students.
http://www.consumerfinance.gov/pressreleases/consumer-financial-protection-bureau-launches-inquiry-on-campus-financial-products/
Federal Reserve Board announces release dates for results from supervisory stress tests and from the Comprehensive Capital Analysis and Review (CCAR) The Federal Reserve Board on Monday announced that results from the supervisory stress tests conducted as part of the Dodd-Frank Wall Street Reform and Consumer Protection Act will be released on Thursday, March 7, and the related results from the Comprehensive Capital Analysis and Review, or CCAR, will be released on Thursday, March 14. Results will be released for both exercises at 4:30 p.m. Eastern Time. http://www.federalreserve.gov/newsevents/press/bcreg/20130128a.htm
http://www.federalreserve.gov/newsevents/press/bcreg/20130128a.htm
The Federal Financial Institutions Examination Council (FFIEC) http://www.ncua.gov/News/Pages/NW20130122SocialMedia.aspxreleased proposed guidance on the applicability of consumer protection and compliance laws, regulations, and policies to activities conducted via social media by banks, savings associations, and credit unions, as well as nonbank entities supervised by the Consumer Financial Protection Bureau and state regulators
http://www.ncua.gov/News/Pages/NW20130122SocialMedia.aspx
Agencies Issue Final Rule on Appraisals for Higher-Priced Mortgage Loans Six federal financial regulatory agencies issued the final rule that establishes new appraisal requirements for "higher-priced mortgage loans." The rule implements amendments to the Truth in Lending Act made by the Dodd-Frank Wall Street Reform and Consumer Protection Act of 2010 (Dodd-Frank Act). Under the Dodd-Frank Act, mortgage loans are higher-priced if they are secured by a consumer's home and have interest rates above certain thresholds. http://www.federalreserve.gov/newsevents/press/bcreg/20130118a.htm
The Consumer Financial Protection Bureau (CFPB) is issuing rules to prevent mortgage lenders from steering borrowers into risky and high-cost loans. The rules ban certain incentives that loan originators had to sell unsafe loans to consumers in the run-up to the financial crisis.
http://www.consumerfinance.gov/pressreleases/consumer-financial-protection-bureau-rules-to-prevent-loan-originators-from-steering-consumers-into-risky-mortgages/
Federal Reserve Banks Announce New Study to Examine Nation’s Payments Usage The Federal Reserve's Retail Payments Office (RPO), located at the Federal Reserve Bank in Atlanta, announced plans to conduct a new study to determine the current volume and composition of electronic and check payments in the United States. This triennial study continues the research conducted by the Federal Reserve in 2001, 2004, 2007, and 2010. http://www.federalreserve.gov/newsevents/press/other/20130117a.htm
The Consumer Financial Protection Bureau (CFPB) issued rules to establish new, strong protections for struggling homeowners facing foreclosure. The rules also protect mortgage borrowers from costly surprises and runarounds by their servicers.
http://www.consumerfinance.gov/pressreleases/consumer-financial-protection-bureau-rules-establish-strong-protections-for-homeowners-facing-foreclosure/
Independent Foreclosure Review to Provide $3.3 Billion in Payments, $5.2 Billion in Mortgage Assistance Ten mortgage servicing companies subject to enforcement actions for deficient practices in mortgage loan servicing and foreclosure processing have reached an agreement in principle with the Office of the Comptroller of the Currency (OCC) and the Federal Reserve Board to pay more than $8.5 billion in cash payments and other assistance to help borrowers. http://www.federalreserve.gov/newsevents/press/bcreg/20130107a.htm
The Consumer Financial Protection Bureau (CFPB) today issued a final rule adjusting the asset-size exemption threshold for banks, savings associations, and credit unions under Regulation C, which implements the Home Mortgage Disclosure Act (HMDA). http://www.consumerfinance.gov/pressreleases/consumer-financial-protection-bureau-announces-increase-in-home-mortgage-disclosure-act-asset-size-exemption-threshold/
Agencies Release Annual CRA Asset-Size Threshold Adjustments forSmall and Intermediate Small Institutions The federal bank regulatory agencies announced the annual adjustment to the asset-size thresholds used to define small bank, small savings association, intermediate small bank, and intermediate small savings association under the Community Reinvestment Act (CRA) regulations. The annual adjustments are required by the CRA rules. Financial institutions are evaluated under different CRA examination procedures based upon their asset-size classification. Those meeting the small and intermediate small asset-size threshold are not subject to the reporting requirements applicable to large banks. http://www.federalreserve.gov/newsevents/press/bcreg/20121219a.htm
The Consumer Financial Protection Bureau (CFPB) announced that it is seeking public comment on how the Credit Card Accountability Responsibility and Disclosure Act of 2009 (CARD Act) has impacted consumers and the credit card market. The CFPB wants to know how the CARD Act has affected the daily lives of consumers and the behavior of industry.
http://www.consumerfinance.gov/pressreleases/consumer-financial-protection-bureau-launches-public-inquiry-on-the-impact-of-the-card-act/
The Consumer Financial Protection Bureau (CFPB) published the procedures it will use in examining student lenders. The Student Lending Examination Procedures are an extension of the CFPB’s General Supervision and Examination Manual and will be used as a field guide by CFPB examiners to ensure that private student lenders comply with federal consumer financial laws. http://www.consumerfinance.gov/pressreleases/consumer-financial-protection-bureau-releases-exam-procedures-for-student-loans/
Federal Reserve Board issues supervision and regulation letter summarizing changes made to its program for consolidated supervision of large financial institutions The Federal Reserve Board issued a Supervision and Regulation letter summarizing changes made in recent years to its program for consolidated supervision of large financial institutions. The updated approach incorporates a stronger focus on the stability of the financial system and broader economy as a whole, while making improvements to the Federal Reserve's program to promote resiliency of individual firms. The letter is intended to provide greater clarity about supervisory objectives and expectations so that institutions and the general public can better understand the Federal Reserve's focus in supervising these large firms. http://www.federalreserve.gov/newsevents/press/bcreg/20121217a.htm
Federal Reserve Board releases proposed rules to strengthen the oversight of U.S. operations of foreign banks The Federal Reserve Board proposed rules to strengthen the oversight of U.S. operations of foreign banks. The proposal would require foreign banking organizations with a significant U.S. presence to create an intermediate holding company over their U.S. subsidiaries, which would help facilitate consistent and enhanced supervision and regulation of the U.S. operations of these foreign banks. Foreign banks would also be required to maintain stronger capital and liquidity positions in the United States, helping to increase the resiliency of their U.S. operations. http://www.federalreserve.gov/newsevents/press/bcreg/20121214a.htm
The Consumer Financial Protection Bureau (CFPB) announced its proposed policy to allow companies to test new consumer disclosures on a case-by-case basis. As part of its Project Catalyst initiative, and in line with its statutory authority, the Bureau’s goal is to encourage banks, credit unions, and other financial services companies to propose and conduct trial disclosure programs.
http://www.consumerfinance.gov/pressreleases/consumer-financial-protection-bureau-proposes-to-allow-companies-to-run-trial-disclosure-programs/
FinCEN, Federal Reserve Seek Comments on Bank Secrecy Act Definitions The Financial Crimes Enforcement Network (FinCEN), a bureau of the U.S. Department of the Treasury, and the Federal Reserve Board are seeking comments on a proposal to amend the definitions of "funds transfer" and "transmittal of funds" under the regulations implementing the Bank Secrecy Act. The proposed amendments are necessary to maintain the current scope of funds transfers and transmittals subject to the Bank Secrecy Act in light of amendments to the Electronic Fund Transfer Act made by the Dodd-Frank Wall Street Reform and Consumer Protection Act. http://www.federalreserve.gov/newsevents/press/bcreg/20121129a.htm
http://www.consumerfinance.gov/pressreleases/agencies-announce-increases-in-dollar-thresholds-in-regulation-z-and-m-for-exempt-consumer-credit-and-lease-transactions/
The Consumer Financial Protection Bureau (CFPB) announced that it will give industry extra time to provide certain new disclosures required under the Dodd-Frank Wall Street Reform and Consumer Protection Act in order to allow a more seamless integration with other mortgage disclosures that have been proposed by the Bureau. Per today’s announcement, industry will not be required to provide those disclosures until after the Bureau’s previously proposed mortgage disclosure rules are finalized. http://www.consumerfinance.gov/pressreleases/consumer-financial-protection-bureau-extends-effective-date-for-new-mortgage-disclosures/
The National Credit Union Administration (NCUA) Board convened its seventh open meeting of 2012 at the agency’s headquarters here today. Board members received updates on the performance of the National Credit Union Share Insurance Fund (NCUSIF) and Temporary Corporate Credit Union Stabilization Fund (Stabilization Fund), revealed 2013 premium and assessment ranges, and unanimously approved three items.
http://www.ncua.gov/about/Pages/Board%20Actions/BAB20121115.aspx
Comptroller of the Currency Discusses Actions to Prevent the Next Fiscal Crisis
Comptroller of the Currency Thomas J. Curry discussed steps being taken to prevent the next fiscal crisis during a speech before The Clearing House.
http://www.occ.treas.gov/news-issuances/news-releases/2012/nr-occ-2012-165.html
The Office of the Comptroller of the Currency released interim guidance that describes how the OCC will develop and distribute scenarios for use in annual stress tests required under the Dodd-Frank Wall Street Reform and Consumer Protection Act of 2010.
http://www.occ.treas.gov/news-issuances/news-releases/2012/nr-occ-2012-166.html
The National Credit Union Administration (NCUA) released a public version of its new National Supervision Policy Manual (NSPM). The document describes the agency’s internal operations and procedures for supervisory staff.
http://www.ncua.gov/News/Pages/NW20121102SuperPolManual.aspx
The TSP Booklet contains guidance for examiners and financial institutions on the supervision of technology service providers. It addresses the agencies’ statutory authority to supervise third-party servicers that enter into contractual arrangements with regulated financial institutions. Additionally, the TSP Booklet outlines the agencies’ Risk Based -Examination Priority Ranking Program and includes an appendix describing the Uniform Rating System for Information Technology (URSIT), which the agencies use for financial institutions and their technology service providers. http://www.ncua.gov/News/Pages/20121031FFIECTech.aspx
Federal Reserve Board announces annual indexing of reserve requirement exemption amount and of low reserve tranche for 2013 The Federal Reserve Board announced the annual indexing of the reserve requirement exemption amount and of the low reserve tranche for 2013. These amounts are used in the calculation of reserve requirements of depository institutions. The Board also announced the annual indexing of the nonexempt deposit cutoff level and the reduced reporting limit that will be used to determine deposit reporting panels effective 2013. http://www.federalreserve.gov/newsevents/press/bcreg/20121025a.htm
Comment Deadline Extended to Nov. 26 for Proposed Small Credit Union Definition Rule
e National Credit Union Administration (NCUA) Board has approved by notation vote a one-month extension of the comment period for the proposed rule updating the definition of a “small entity.” The proposed rule would grant additional regulatory relief to more than 1,600 credit unions.
http://www.ncua.gov/News/Pages/NW20121022Comments.aspx
NCUA’s October Economic Update for Credit Unions Now Available Online
The National Credit Union Administration (NCUA) released the latest video in the agency’s free “YouTube” economic update series. NCUA Chief Economist John Worth’s October analysis examines recent economic developments and covers possible risks, including a discussion of the potential effect of the “fiscal cliff” on credit union performance. http://www.ncua.gov/News/Pages/NW20121022EconVideo.aspx
Final Rule: Short-Term Investment Funds
The Office of the Comptroller of the Currency (OCC) published a final rule in the Federal Register on October 9, 2012, that revises the requirements imposed on U.S. banks and federal branches of foreign banks pursuant to 12 CFR 9.18(b)(4)(ii)(B), the short-term investment fund (STIF) rule. A STIF is a type of collective investment fund (CIF) that operates pursuant to a plan that governs a bank’s management and administration of the fund. For admissions to and withdrawals from the fund, a bank may value STIF assets on an amortized cost basis, provided that the STIF plan includes certain requirements, rather than marking the assets to market, which is the valuation method required for other CIFs. Currently, a STIF plan must require the bank to: (1) maintain a dollar-weighted average portfolio maturity of 90 days or less, (2) accrue on a straight-line basis the difference between the cost and the anticipated principal receipt on maturity, and (3) hold the fund’s assets until maturity under usual circumstances. http://www.occ.treas.gov/news-issuances/bulletins/2012/bulletin-2012-31.html
Federal Reserve Board publishes two final rules with stress testing requirements for certain bank holding companies, state member banks, and savings and loan holding companies The Federal Reserve Board on Tuesday published two final rules with stress testing requirements for certain bank holding companies, state member banks, and savings and loan holding companies. The final rules implement sections 165(i)(1) and (i)(2) of the Dodd-Frank Wall Street Reform and Consumer Protection Act that require supervisory and company-run stress tests. Nonbank financial companies designated by the Financial Stability Oversight Council will also be subject to certain stress testing requirements contained in the rules. http://www.federalreserve.gov/newsevents/press/bcreg/20121009a.htm
Consideration of Findings in Uniform Rating and Risk Assessment Systems
This bulletin summarizes refinements that the Office of the Comptroller of the Currency (OCC) has made to its guidance with respect to how examiners consider Bank Secrecy Act/Anti-Money Laundering (BSA/AML) examination findings in the Federal Financial Institutions Examination Council’s (FFIEC) Uniform Rating Systems and the OCC’s risk assessment system (RAS) for national banks and federal savings associations (collectively, banks), and the ROCA ratings1 and RAS for federal branches and agencies of foreign banking organizations.These refinements reflect the OCC’s longstanding policy that weaknesses in a bank’s BSA/AML program are serious safety and soundness concerns that require management’s prompt attention.
http://www.occ.treas.gov/news-issuances/bulletins/2012/bulletin-2012-30.html
Agencies Reopen Comment Period on Swap Margin and Capital Proposed Rulemaking Five federal agencies reopened the comment period on a proposed rule to establish margin and capital requirements for swap dealers, major swap participants, security-based swap dealers, and major security-based swap participants for which one of the agencies is the prudential regulator, as required by sections 731 and 764 of the Dodd-Frank Wall Street Reform and Consumer Protection Act. The comment period--which originally ended July 11, 2011--was reopened to November 26, 2012, to allow interested persons more time to analyze the issues and prepare their comments in light of the consultative document on margin requirements for noncentrally-cleared derivatives recently published for comment by the Basel Committee on Banking Supervision and the International Organization of Securities Commissions. http://www.federalreserve.gov/newsevents/press/bcreg/20120926a.htm
Agencies Release a Regulatory Capital Estimation Tool to Assist in Assessing the Potential Effects of Recently Proposed Regulatory Capital Rules The federal banking regulatory agencies on Monday announced the availability of a regulatory capital estimation tool to help community banking organizations and other interested parties evaluate recently published regulatory capital proposals. The tool will assist these organizations in estimating the potential effects on their capital ratios of the agencies' Basel III Notice of Proposed Rulemaking (NPR) and Standardized Approach NPR. http://www.federalreserve.gov/newsevents/press/bcreg/20120924a.htm
http://www.consumerfinance.gov/pressreleases/federal-financial-institutions-examination-council-announces-availability-of-2011-data-on-mortgage-lending/
The Consumer Financial Protection Bureau (CFPB) took another step in implementing its nonbank supervision program by releasing the procedures it will use in examining credit bureaus and other consumer reporting companies. These procedures are a field guide for CFPB examiners looking to check that these companies are following the law. http://www.consumerfinance.gov/pressreleases/consumer-financial-protection-bureau-releases-exam-procedures-for-consumer-reporting-market/
Revisions to Market Risk Capital Rule: Final Rulemaking
http://www.occ.treas.gov/news-issuances/bulletins/2012/bulletin-2012-25.html
Federal Reserve Board considering changes to the implementation timeline for the Dodd-Frank company-run stress test requirements The Federal Reserve Board is considering changes to the implementation timeline for the annual company-run stress test requirements required by the Dodd-Frank Wall Street Reform and Consumer Protection Act. The changes under consideration would delay implementation until September 2013 for bank holding companies, state member banks, and savings and loan holding companies with between $10 billion and $50 billion in total consolidated assets. http://www.federalreserve.gov/newsevents/press/bcreg/20120827b.htm
Consumer Financial Protection Bureau (CFPB) proposed rules that would bring greater accountability to the mortgage loan origination market. These rules, which the CFPB is seeking comment on and will finalize by January 2013, would make it easier for consumers to understand mortgage costs and compare loans so they can choose the best deal.
The Office of the Comptroller of the Currency (OCC) today published a notice of a proposed information collection for comment in the Federal Register regarding annual stress test reporting.
http://www.occ.treas.gov/news-issuances/news-releases/2012/nr-occ-2012-121.html
Agencies Issue Proposed Rule on Appraisals for Higher-Risk Mortgages Six federal financial regulatory agencies issued a proposed rule to establish new appraisal requirements for "higher-risk mortgage loans." The proposed rule would implement amendments to the Truth in Lending Act enacted by the Dodd-Frank Wall Street Reform and Consumer Protection Act of 2010. Under the Dodd-Frank Act, mortgage loans are higher-risk if they are secured by a consumer's home and have interest rates above a certain threshold. http://www.federalreserve.gov/newsevents/press/bcreg/20120815a.htm
The Consumer Financial Protection Bureau (CFPB) released a proposed rule that would require mortgage lenders to provide home loan applicants with copies of written appraisals and other home value estimates developed in connection with the application. The rule would ensure that consumers receive information prior to closing about how the property’s value was determined.
http://www.consumerfinance.gov/pressreleases/consumer-financial-protection-bureau-proposes-rule-to-improve-consumer-access-to-appraisal-reports/
The Consumer Financial Protection Bureau (CFPB) proposed two notices containing rules to protect homeowners from surprises and costly mistakes by their mortgage servicers.
http://www.consumerfinance.gov/pressreleases/consumer-financial-protection-bureau-proposes-rules-to-protect-mortgage-borrowers/
NCUA: New Office of National Examinations and Supervision Coming in 2013
The National Credit Union Administration (NCUA) will change with an evolving credit union industry by creating an Office of National Examinations and Supervision, said NCUA Board Chairman Debbie Matz. Matz announced the reorganization at the National Association of Federal Credit Unions’ 45th Annual Conference and Exposition.
http://www.ncua.gov/News/Pages/NW20120726MatzNAFCU.aspx
Federal Reserve Board reaffirms long-standing policy of applying relevant international risk-management standards to Fedwire funds and Fedwire securities services The Federal Reserve Board reaffirmed its long-standing policy of applying relevant international risk-management standards to the Federal Reserve Banks' Fedwire funds and Fedwire securities services. These services play a critical role in the financial system and in facilitating the safe and efficient settlement of private-sector financial market utilities. http://www.federalreserve.gov/newsevents/press/bcreg/20120719a.htm
The Consumer Financial Protection Bureau and the U.S. Department of Education released a report that describes the risky practices and debt that stemmed from the boom and bust of the private student loan market in the past ten years. According to the CFPB’s estimates, outstanding student loan debt in the United States topped $1 trillion in 2011 — $864 billion of federal student debt and approximately $150 billion of private student loan debt. http://www.consumerfinance.gov/pressreleases/consumer-financial-protection-bureau-and-u-s-department-of-education-joint-report-finds-a-cycle-of-boom-and-bust-in-private-student-loan-market/
Federal Reserve Board issues supervisory guidance for new optional pre-filing process for an applicant to request a response on a potential bank acquisition or other proposal The Federal Reserve issued supervisory guidance describing a new optional process for an applicant to request a response on a potential bank acquisition or other proposal before the submission of a formal application or notice. http://www.federalreserve.gov/newsevents/press/bcreg/20120712a.htm
The Federal Financial Institutions Examination Council (FFIEC) today issued a statement on outsourced cloud computing activities. The statement discusses key risk considerations associated with outsourced cloud computing activities and identifies applicable risk mitigation considerations contained in the various booklets that comprise the FFIEC IT Examination Handbook.
http://www.ncua.gov/News/Pages/NW20120710FFIECCloud.aspx
http://www.occ.treas.gov/news-issuances/news-releases/2012/nr-occ-2012-106.html
Federal Reserve Board and Federal Deposit Insurance Corporation announce process for receiving and evaluating initial resolution plans, also known as living wills The Federal Deposit Insurance Corporation (FDIC) and the Federal Reserve Board announced the process for receiving and evaluating the initial resolution plans--also known as living wills--from the largest banking organizations operating in the United States. The Dodd-Frank Wall Street Reform and Consumer Protection Act requires that bank holding companies with total consolidated assets of $50 billion or more and nonbank financial companies designated by the Financial Stability Oversight Council for supervision by the Federal Reserve submit resolution plans annually to the FDIC and the Federal Reserve. Each plan must describe the company's strategy for rapid and orderly resolution under the Bankruptcy Code in the event of material financial distress or failure of the company. The FDIC and Federal Reserve must review each resolution plan and jointly may determine that a resolution plan is not credible or would not facilitate an orderly resolution of the company in bankruptcy. http://www.federalreserve.gov/newsevents/press/bcreg/20120629b.htm
The Consumer Financial Protection Bureau (CFPB) adopted a rule to codify protections for privileged information submitted to the Bureau by the financial institutions it regulates. http://www.consumerfinance.gov/pressreleases/consumer-financial-protection-bureau-adopts-rule-for-the-protection-of-privileged-information/
The Consumer Financial Protection Bureau (CFPB) along with the prudential regulators – the Board of Governors of the Federal Reserve System, the Federal Deposit Insurance Corporation, the National Credit Union Administration, and the Office of the Comptroller of the Currency and ? issued joint guidance to address mortgage servicer practices that may pose risks to homeowners who are serving in the military. http://www.consumerfinance.gov/pressreleases/consumer-financial-protection-bureau-and-prudential-regulators-issue-joint-guidance-to-address-mortgage-servicer-practices-that-impact-servicemembers/
The Office of the Comptroller of the Currency (OCC) has adopted an interim final rule amending its lending limit rule to apply to certain credit exposures arising from derivative transactions and securities financing transactions. Effective July 21, 2012, section 610 of the Dodd-Frank Wall Street Reform and Consumer Protection Act of 2010 revises the statutory definition of loans and extensions of credit for purposes of the lending limit to include certain credit exposures arising from a derivative transaction, repurchase agreement, reverse repurchase agreement, securities lending transaction, or securities borrowing transaction. The interim final rule adopted by the OCC implements this statutory change which applies to both national banks and savings associations. State banks are subject to separate restrictions under section 611 of the Dodd-Frank Act.
http://www.occ.treas.gov/news-issuances/news-releases/2012/nr-occ-2012-92.html
The Office of the Comptroller of the Currency (OCC), Board of Governors of the Federal Reserve System (Board), and the Federal Deposit Insurance Corporation (FDIC) are seeking comment on three notices of proposed rulemaking (NPRs) that would revise and replace the agencies' current capital rules. The agencies also announced the finalization of the market risk capital rule that was proposed in 2011. http://www.federalreserve.gov/newsevents/press/bcreg/20120612a.htm
The Federal Reserve Board approved a final rule to implement changes to the market risk capital rule, which requires banking organizations with significant trading activities to adjust their capital requirements to better account for the market risks of those activities. http://www.federalreserve.gov/newsevents/press/bcreg/20120607b.htm
Federal Reserve Board invites comment on three proposed rules intended to help ensure banks maintain strong capital positions The Federal Reserve Board invited comment on three proposed rules intended to help ensure banks maintain strong capital positions, enabling them to continue lending to creditworthy households and businesses even after unforeseen losses and during severe economic downturns. http://www.federalreserve.gov/newsevents/press/bcreg/20120607a.htm
Federal Reserve Board announces upcoming changes to its Consumer Credit (G.19) release The Federal Reserve Board on Monday announced that it has restructured the G.19 statistical release, Consumer Credit, to reflect regulatory filing changes for U.S.-chartered depository institutions and, in addition to the data currently reported on level of credit outstanding, the release will now report data on the flow of credit. The revised data will be made available with the release of the April report on Thursday, June 7. http://www.federalreserve.gov/newsevents/press/other/20120604a.htm
Today the Consumer Financial Protection Bureau (CFPB) announced that it is seeking public comment on new data and information that it has received in a rulemaking to require lenders to assess consumers’ ability to repay mortgage loans before extending them credit. The comment period will close on July 9, 2012.
http://www.consumerfinance.gov/pressreleases/consumer-financial-protection-bureau-seeks-further-comment-on-ability-to-repay-mortgage-rule/
The National Credit Union Administration (NCUA) Board convened its third open meeting of 2012 at the agency’s headquarters and unanimously approved three items
http://www.ncua.gov/about/Pages/Board%20Actions/BAB20120524.aspx
The Consumer Financial Protection Bureau (CFPB) is proposing a rule that would set up procedures to supervise nonbanks that may have engaged in activities that pose risks to consumers. This rule would clarify procedures the CFPB would use when exercising the authority granted to it by the Dodd-Frank Wall Street Reform and Consumer Protection Act (Dodd-Frank Act).
http://www.consumerfinance.gov/pressreleases/consumer-financial-protection-bureau-proposes-procedural-rule-on-supervising-nonbanks-that-pose-risks-to-consumers/
May NCUA Economic Update Now Available
http://www.ncua.gov/News/Pages/NW20120522EconomicUpdate.aspx
Rescission of OTS Documents
http://www.occ.treas.gov/news-issuances/bulletins/2012/bulletin-2012-15.html
Agencies Finalize Large Bank Stress Testing Guidance The Federal Reserve Board, the Office of the Comptroller of the Currency, and the Federal Deposit Insurance Corporation issued final supervisory guidance regarding stress-testing practices at banking organizations with total consolidated assets of more than $10 billion. http://www.federalreserve.gov/newsevents/press/bcreg/20120514a.htm
National Credit Union Administration (NCUA) staff have completed comprehensive training that will result in more consistent supervision and examination standards for credit unions across America. http://www.ncua.gov/News/Pages/NW20120510NatlConference.aspx
Consumer Financial Protection Bureau (CFPB) outlined rules it is considering that would simplify mortgage points and fees and bring greater transparency to the mortgage loan origination market. These rules, which the CFPB expects to propose this summer and finalize by January 2013, would make it easier for consumers to understand mortgage costs and compare loans so they can choose the best deal.
http://www.consumerfinance.gov/pressreleases/consumer-financial-protection-bureau-considers-rules-to-simplify-mortgage-points-and-fees/
Consumer Financial Protection Bureau Final Rule for Reporting Thresholds
On February 15, 2012, the Consumer Financial Protection Bureau (CFPB) published in the Federal Register the attached final rule amending the official commentary that interprets the requirements of Regulation C. By this amendment, the CFPB has raised the asset size exemption threshold to $41 million for depository institutions. Thus, institutions with assets of $41 million or less as of December 31, 2011, will not be required to collect Home Mortgage Disclosure Act (HMDA) data in 2012. The previous exemption threshold was $40 million. This revision is mandated by provisions of the Economic Growth and Regulatory Paperwork Reduction Act of 1996. The adjustment reflects changes based on the annual percentage increase in the Consumer Price Index for Urban Wage Earners and Clerical Workers for the 12-month period ending in November 2011.
http://www.occ.treas.gov/news-issuances/bulletins/2012/bulletin-2012-13.html
If your credit union makes closed-end residential mortgage loans, you will have new flexibility in loan originator Compensation Rules under the Truth in Lending regulation issued by the Consumer Financial Protection Bureau (CFPB).
http://www.ncua.gov/Legal/Pages/RA2012-03.aspx
Notice of Proposed Rulemaking: Short-Term Investment Funds
The Office of the Comptroller of the Currency (OCC) published a notice of proposed rulemaking in the Federal Register on April 9, 2012, that would revise the requirements imposed on banks pursuant to 12 CFR 9.18(b)(4)(ii)(B), the short-term investment fund (STIF) rule. A STIF is a type of collective investment fund (CIF). Like a CIF, a STIF operates pursuant to a plan that governs the bank’s management and administration of the fund. For admissions to and withdrawals from the fund, a bank may value STIF assets on an amortized cost basis, provided that a STIF’s plan includes certain requirements, rather than marking them to market, which is the valuation method required for other CIFs. Specifically, a STIF’s plan must require the bank to (1) maintain a dollar-weighted average portfolio maturity of 90 days or less, (2) accrue on a straight-line basis the difference between the cost and anticipated principal receipt on maturity, and (3) hold the fund’s assets until maturity under usual circumstances.
http://www.occ.treas.gov/news-issuances/bulletins/2012/bulletin-2012-12.html
Examination Procedures: SAFE Act
The Office of the Comptroller of the Currency is issuing interagency examination procedures for the Secure and Fair Enforcement for Mortgage Licensing Act of 2008 (SAFE Act).On July 28, 2010, the Office of the Comptroller of the Currency, Board of Governors of the Federal Reserve System, Federal Deposit Insurance Corporation, Office of Thrift Supervision, National Credit Union Administration, and Farm Credit Administration published substantively similar regulations implementing the SAFE Act federal registration requirements for the institutions they supervise and the institutions’ mortgage loan originator employees. On July 21, 2011, rulemaking authority for the SAFE Act transferred to the Consumer Financial Protection Bureau. The examination procedures lay out the background and requirements of the SAFE Act and the SAFE Act regulation concerning federal registration.
http://www.occ.treas.gov/news-issuances/bulletins/2012/bulletin-2012-11.html
The Consumer Financial Protection Bureau (CFPB) today released a bulletin clarifying that financial institutions under Bureau supervision may be held responsible for the actions of the companies with which they contract. The Bureau will take a close look at service providers’ interactions with consumers. It will hold all appropriate companies accountable when legal violations occur. http://www.consumerfinance.gov/pressreleases/consumer-financial-protection-bureau-to-hold-financial-institutions-and-their-service-providers-accountable/
The Consumer Financial Protection Bureau (CFPB) is seeking public comment on a proposal to revise a 2011 rule that the Federal Reserve Board had issued on credit card fees, in response to a federal court ruling that had granted a preliminary injunction to block the rule from taking effect.
http://www.consumerfinance.gov/pressreleases/consumer-financial-protection-bureau-releases-financial-aid-comparison-shopper/
Supervisory Guidance on Accounting and Reporting Requirements
The Office of the Comptroller of the Currency (OCC) is issuing this bulletin to national banks and federal savings associations (collectively, banks) to address many inquiries received from bankers and examiners on the accounting and reporting requirements for troubled debt restructurings (a TDR), especially related to loan renewals and extensions of substandard commercial loans. http://www.occ.treas.gov/news-issuances/bulletins/2012/bulletin-2012-10.html
http://www.occ.treas.gov/news-issuances/news-releases/2012/nr-ia-2012-56.html
Request for Comment on Revised Leveraged Lending Guidance
http://www.occ.treas.gov/news-issuances/bulletins/2012/bulletin-2012-9.html
The Consumer Financial Protection Bureau (CFPB) has filed an amicus brief in the United States Court of Appeals for the Tenth Circuit in Denver, Colo., arguing that certain borrowers who did not receive important disclosures mandated by the Truth in Lending Act (TILA) may cancel their loans so long as they notify the lender of their intent to cancel within three years. http://www.consumerfinance.gov/pressreleases/consumer-financial-protection-bureau-files-amicus-brief-in-truth-in-lending-case/
http://www.occ.treas.gov/news-issuances/news-releases/2012/nr-ia-2012-54.html
OCC Issues Final Semi-Annual Cost of Funds Reports
The Office of the Comptroller of the Currency (OCC) issued the final Cost of Funds reports (current and historical), which provide information about funding costs covering the six-month period ending December 31, 2011, for institutions formerly regulated by the Office of Thrift Supervision (OTS).
http://www.occ.treas.gov/news-issuances/news-releases/2012/nr-occ-2012-44.html
The Consumer Financial Protection Bureau (CFPB) announced a proposed rule that would codify protections for privileged information submitted to the Bureau by the financial institutions it regulates. http://www.consumerfinance.gov/pressreleases/consumer-financial-protection-bureau-proposes-rule-for-the-protection-of-privileged-information/
The federal bank regulatory agencies, the Federal Reserve Bank of San Francisco, and the Community Development Financial Institutions Fund will host the 2012 National Interagency Community Reinvestment Conference in Seattle, Washington, from March 25 to 28. This biennial conference is designed to offer participants from around the country the opportunity to learn about the Community Reinvestment Act (CRA) and its regulations, as well as the chance to network with colleagues and discuss best practices and emerging challenges in community development. http://www.federalreserve.gov/newsevents/press/other/20120309a.htm
The Federal Reserve Board on Thursday released action plans for three supervised financial institutions to correct deficiencies in residential mortgage loan servicing and foreclosure processing. The three institutions are HSBC North America Holdings, Inc., Ally Financial Inc., and IMB HoldCo. LLC. http://www.federalreserve.gov/newsevents/press/enforcement/20120308b.htm
The Consumer Financial Protection Bureau (CFPB) is now accepting complaints from borrowers having difficulties with their private student loans. The CFPB will assist all borrowers experiencing problems taking out a private student loan, repaying their private student loan, or managing a student loan that has gone into default and may have been referred to a debt collector. http://www.consumerfinance.gov/pressreleases/consumer-financial-protection-bureau-now-taking-private-student-loan-complaints/
The Federal Reserve Board on Friday extended the comment period until April 30, 2012, on a proposed rule to implement the enhanced prudential standards and early remediation requirements in the Dodd-Frank Wall Street Reform and Consumer Protection Act. The proposal includes a wide range of measures addressing issues such as capital, liquidity, single counterparty credit limits, stress testing, risk management, and early remediation requirements. The Board extended the comment period to allow interested persons more time to analyze the issues and prepare their comments. Originally, comments were due by March 31, 2012. http://www.federalreserve.gov/newsevents/press/bcreg/20120302a.htm
Federal Reserve Board issues guidance for evaluating whether banking organizations are eligible for upgrades of supervisory ratings The Federal Reserve Board on Friday issued guidance to ensure that supervisors apply consistent standards as they evaluate whether banking organizations with $10 billion or less in assets are eligible for upgrades of supervisory ratings. The guidance is being issued to ensure that upgrades occur in a timely manner when the banking organizations have made the requisite progress in addressing any supervisory concerns that had prompted lower ratings. To be eligible for an upgrade, banks are expected to demonstrate, among other things, improvement in financial condition and risk management, as well as show that such improvement is likely to continue
http://www.federalreserve.gov/newsevents/press/bcreg/20120302b.htm
Matz: “Credit Unions Ended 2011 in a Safer and Stronger Position”
Chairman Debbie Matz reported that key financial measures for credit unions improved in the last quarter of 2011, according to Call Report data submitted by the nation’s 7,094 federally insured credit unions and compiled by the National Credit Union Administration (NCUA). http://www.ncua.gov/News/Pages/NW20120301Q4IndustryCReport.aspx
The Consumer Financial Protection Bureau (CFPB) began accepting consumer complaints about bank accounts, including checking accounts, savings accounts, CDs, and related services. http://www.consumerfinance.gov/pressreleases/consumer-financial-protection-bureau-now-taking-complaints-on-checking-accounts/
The Consumer Financial Protection Bureau (CFPB) launched an inquiry into checking account overdraft programs to determine how these practices are impacting consumers. As part of that inquiry, the CFPB is seeking public input on a prototype “penalty fee box” – a disclosure on a consumer’s checking account statement that would highlight the amount overdrawn and total overdraft fees charged. http://www.consumerfinance.gov/pressreleases/consumer-financial-protection-bureau-launches-inquiry-into-overdraft-practices/
The Consumer Financial Protection Bureau (CFPB) is announcing today the formation of a Small Business Review Panel as part of its initiative to integrate the mortgage disclosure forms that borrowers receive when applying for and closing on a loan. The review panel will solicit feedback from small businesses that make mortgage loans and conduct mortgage closings. http://www.consumerfinance.gov/pressreleases/consumer-financial-protection-bureau-convenes-small-business-panel-for-know-before-you-owe-mortgage-disclosures/
The Office of the Comptroller of the Currency (OCC) today published the latest edition of its Community Developments Investments electronic newsletter, titled "Ending Homelessness: Financing Permanent Supportive Housing," which provides an in-depth look at bank financing for permanent supportive housing for the homeless.
http://www.occ.gov/news-issuances/news-releases/2012/nr-occ-2012-29.html
The Consumer Financial Protection Bureau (CFPB) announced a proposed rule to include debt collectors and consumer reporting agencies under its nonbank supervision program. This would mark the first time these important and far-reaching consumer financial market participants are subject to federal supervision. http://www.consumerfinance.gov/pressreleases/consumer-financial-protection-bureau-proposes-rule-to-supervise-larger-participants-in-consumer-debt-collection-and-consumer-reporting-markets/
The Office of the Comptroller of the Currency (OCC) promoted awareness of consumer protection resources during National Consumer Protection Week (NCPW) event on Capitol Hill.
http://www.occ.treas.gov/news-issuances/news-releases/2012/nr-occ-2011-26.html
http://www.occ.treas.gov/news-issuances/news-releases/2012/nr-ia-2012-25.html
Officials from the Consumer Financial Protection Bureau (CFPB), the Department of Defense, and the Federal Trade Commission (FTC) were joined by the New York Attorney General announced the development of a database to combat consumer financial frauds directed at military members, veterans, and their families. The Repeat Offenders Against Military (ROAM) Database will track completed enforcement actions against companies and individuals who repeatedly scam military personnel. http://www.consumerfinance.gov/pressreleases/federal-and-state-officials-announce-new-law-enforcement-partnership-to-protect-military-community/
Following careful deliberations at its recent meetings, the Federal Open Market Committee (FOMC) has reached broad agreement on the following principles regarding its longer-run goals and monetary policy strategy. The Committee intends to reaffirm these principles and to make adjustments as appropriate at its annual organizational meeting each January. http://www.federalreserve.gov/newsevents/press/monetary/20120125c.htm
The Office of the Comptroller of the Currency (OCC) today announced it is seeking comment on a notice of proposed rulemaking implementing section 165(i)(2) of the Dodd-Frank Wall Street Reform and Consumer Protection Act ("Dodd-Frank Act").
http://www.occ.treas.gov/news-issuances/news-releases/2012/nr-occ-2012-10.html
Acting Comptroller of the Currency John Walsh spoke to attendees of the annual American Securitization Forum conference about the role of securitization in the economy and efforts to better understand and manage the risks associated with derivatives.
http://www.occ.treas.gov/news-issuances/news-releases/2012/nr-occ-2012-11.html
The Consumer Financial Protection Bureau (CFPB) adopted a rule that will increase protections for consumers who transfer money internationally. Under the new rule, remittance transfer providers will generally be required to disclose the exchange rate and all fees associated with a transfer so that consumers know exactly how much money will be received on the other end. The rule also requires remittance transfer providers to investigate disputes and remedy errors.
http://www.consumerfinance.gov/pressreleases/consumer-financial-protection-bureau-adopts-rule-to-protect-consumers-sending-money-internationally/
Federal Reserve releases templates for reporting FOMC participants' projections of the appropriate target federal funds rate The Federal Reserve on Friday released blank templates showing the format of the two charts it will use on January 25 to report Federal Open Market Committee (FOMC) participants' projections of the appropriate target federal funds rate. It also released a draft of an explanatory note that will accompany the projections. http://www.federalreserve.gov/newsevents/press/monetary/20120120a.htm
Acting Comptroller of the Currency John Walsh testified today before a joint hearing of two House Financial Services subcommittees on Section 619 of the Dodd-Frank Wall Street Reform and Consumer Protection Act, commonly known as the Volcker Rule. The Volcker Rule requires regulators to implement certain prohibitions and restrictions on the ability of a banking entity to engage in proprietary trading and have certain interests in, or relationships with, a hedge fund or private equity fund. The comment period for the proposed rule closes February 13, 2012.
http://www.occ.treas.gov/news-issuances/news-releases/2012/nr-occ-2012-5.html
Reserve Bank income and expense data and transfers to the Treasury for 2011 The Federal Reserve Board released the minutes of its discount rate meetings for November 21 and December 12, 2011. http://www.federalreserve.gov/newsevents/press/monetary/20120110a.htm
Prohibitions and Restrictions on Proprietary Trading (the Volcker Rule): Notice of Proposed Rulemaking
On November 7, 2011, the Office of the Comptroller of the Currency, the Board of Governors of the Federal Reserve System, the Federal Deposit Insurance Corporation, and the U.S. Securities and Exchange Commission (the agencies) published in the Federal Register a proposed rule to implement section 619 of the Dodd–Frank Wall Street Reform and Consumer Protection Act of 2010 (Dodd–Frank Act), which contains certain prohibitions and restrictions on the ability of a banking entity to engage in proprietary trading and to have certain interests in, or relationships with, a hedge fund or private equity fund. The proposed rule stated that the public comment period would close on January 13, 2012.
http://www.occ.treas.gov/news-issuances/bulletins/2012/bulletin-2012-4.html
The Office of the Comptroller of the Currency today released print and radio public service advertisements to increase awareness of the Independent Foreclosure Review, announced in November 2011.
http://www.occ.treas.gov/news-issuances/news-releases/2012/nr-occ-2012-1.html
Four federal agencies on Friday extended until February 13, 2012, the comment period on a proposal to implement the so-called Volcker Rule of the Dodd-Frank Wall Street Reform and Consumer Protection Act. The Dodd-Frank Act requires regulators to implement certain prohibitions and restrictions on the ability of a banking entity and nonbank financial company to engage in proprietary trading and have certain interests in, or relationships with, a hedge fund or private equity fund. The comment period was extended as part of a coordinated interagency effort to allow interested persons more time to analyze the issues and prepare their comments. Originally, comments were due by January 13, 2012.
http://www.occ.treas.gov/news-issuances/news-releases/2011/nr-ia-2011-155.html
Federal Reserve Board proposes steps to strengthen regulation and supervision of large bank holding companies and systemically important nonbank financial firms The Federal Reserve Board on Tuesday proposed steps to strengthen regulation and supervision of large bank holding companies and systemically important nonbank financial firms. The proposal, which includes a wide range of measures addressing issues such as capital, liquidity, credit exposure, stress testing, risk management, and early remediation requirements, is mandated by the Dodd-Frank Wall Street Reform and Consumer Protection Act. http://www.federalreserve.gov/newsevents/press/bcreg/20111220a.htm
Agencies Release Annual CRA Asset-Size Threshold Adjustments for Small and Intermediate Small Institutions The federal bank regulatory agencies today announced the annual adjustment to the asset-size thresholds used to define small bank, small savings association, intermediate small bank, and intermediate small savings association under the Community Reinvestment Act (CRA) regulations. The annual adjustments are required by the CRA rules. Financial institutions are evaluated under different CRA examinations procedures based upon their asset-size classification. Those meeting the small and intermediate small asset-size threshold are not subjected to the reporting requirements applicable to large banks. http://www.federalreserve.gov/newsevents/press/bcreg/20111219a.htm
Foreclosed Properties: Guidance on Potential Issues With Foreclosed Residential Properties
Credit Policy: Concentrations of Credit: Revised Booklet
http://www.occ.treas.gov/news-issuances/bulletins/2011/bulletin-2011-48.html
December Issue of The NCUA Report is now available.
http://www.ncua.gov/News/NewsLtrs/Pages/default.aspx
http://www.occ.treas.gov/news-issuances/bulletins/2011/bulletin-2011-47.html
The federal bank regulatory agencies today announced they are seeking comment on a notice of proposed rulemaking (NPR) that would amend an earlier NPR announced in December 2010. The initial NPR proposed modifications to the agencies' market risk capital rules for banking organizations with significant trading activities. http://www.federalreserve.gov/newsevents/press/bcreg/20111207a.htm
December 01, 0006
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