Compliance Newshub
Federal Legislation

The NCUA published a final rule that facilitates the transition of federally insured credit unions (FICUs) to the current expected credit loss (CECL) methodology required under Generally Accepted Accounting Principles (GAAP) effective August 2, 2021.

The Financial Crimes Enforcement Network (FinCEN) has completed a report on its assessment of whether to establish a process for the issuance of no-action letters in response to inquiries concerning the application of the Bank Secrecy Act (BSA) and other anti-money laundering and countering the financing of terrorism laws to specific conduct and has concluded that a no-action letter process would be a useful complement to its current forms of regulatory guidance and relief.

The FDIC, the Board of Governors of the Federal Reserve System, the National Credit Union Administration, the Office of the Comptroller of the Currency, State bank and credit union regulators, and the U.S. Department of the Treasury’s Financial Crimes Enforcement Network (FinCEN) are issuing a statement to provide clarity regarding the Anti-Money Laundering/Countering the Financing of Terrorism (AML/CFT) national Priorities implementation. The publication of the AML/CFT national Priorities does not create an immediate change to Bank Secrecy Act (BSA) requirements for banks.

The Federal Financial Institutions Examination Council (FFIEC) issued a new booklet in the FFIEC Information Technology Examination Handbook series, titled “Architecture, Infrastructure, and Operations” which provides expanded guidance to help financial institution examiners assess the risk profile and adequacy of an entity’s information technology architecture, infrastructure, and operations.

Buckley

The Consumer Financial Protection Bureau’s Covid-relief mortgage servicing rule issued earlier this week has created heightened protections for those borrowers who became seriously delinquent during the pandemic.

The NCUA Board is amending its regulations to remove the prohibition on the capitalization of interest in connection with loan workouts and modifications and establish documentation requirements to help ensure that the addition of unpaid interest to the principal balance of a mortgage loan does not hinder the borrower's ability to become current on the loan; effective July 30, 2021.

CFPB issued a final rule to finalize amendments to the federal mortgage servicing regulations establishing temporary special safeguards to help ensure that borrowers have time before foreclosure to explore their options, including loan modifications and selling their homes effective August 21, 2021.

Ballard Spahr LLP--Jason M. Cover

The House of Representatives passed the resolution under the Congressional Review Act (CRA) to overturn the OCC’s “true lender” final rule by a vote of 218-208.

Mortgage Bankers Association – Mike Sorohan

The Department of Housing and Urban Development recommended restoring its 2013 Discriminatory Effects Standard, know in the industry as the “Disparate Impact” rule.

Mortgage Bankers Association – Mike Sorohan

Last Friday, the Biden Administration nominated Julia Gordon as FHA Commissioner and Dave Uejio as HUD Assistant Secretary for Fair Housing and Equal Opportunity.

The Board of Governors of the Federal Reserve System and the Federal Deposit Insurance Corporation today announced the availability of the 2021 list of distressed or underserved nonmetropolitan middle-income geographies.

HUD issued a proposed rule to recodify its previously promulgated rule titled, “Implementation of the Fair Housing Act's Discriminatory Effects Standard” (“2013 Rule”), which, as of the date of publication of this Proposed Rule, remains in effect due to the U.S. District Court for the District of Massachusetts preliminary injunction in 2020.