What's New? 2021 Dollar Thresholds for Regulation Z

The CFPB is required to adjust the asset exemption threshold for depository institutions yearly according to the annual percentage change in the average Consumer Price Index for Urban Wage Earners and Clerical Workers. The threshold has been adjusted for calendar year 2021. Read more in the HMDA section of The Gold Book. 

What's New? Debt Collection FAQs

The Consumer Financial Protection Bureau issued FAQs to assist financial institutions comply - see Debt Collection Rule FAQs in The Gold Book.

What's New? SARs Instructions for OCSE

The Financial Crimes Enforcement Network (FinCEN) issued Notice OCSE-FIN-2021-NTC3 effective September 16, 2021 to call attention to an increase in online child sexual exploitation (OCSE) and provide financial institutions with specific suspicious activity report (SAR) filing instructions. Read more here in The Gold Book.

What's New? State Chartered Banks

Governor Andrew Cuomo signed into law a bill, passed in March, that requires New York state-chartered banks offering consumer checking accounts to pay checks in the order they are received, or from smallest to largest dollar amount for each business day's transactions. Under the new law, banks may dishonor a check for insufficient funds, but then must honor smaller checks within amounts on deposit in the subject account. Read more in The Gold Book. 

OCC to Reconsider CRA June 2020 Rule

The Office of the Comptroller of the Currency (OCC) published in the Federal Register on June 5, 2020, a final rule (June 2020 rule) to modernize the agency’s regulations under the Community Reinvestment Act (CRA). The OCC has determined that it will reconsider the June 2020 rule. While this reconsideration is ongoing, the OCC will not object to the suspension of the development of systems for, or other implementation of, provisions with a compliance date of January 1, 2023, or January 1, 2024, under the 2020 CRA rule. At this time, the OCC also does not plan to finalize the December 4, 2020, proposed rule that requested comment on an approach to determine the CRA evaluation measure benchmarks, retail lending distribution test thresholds, and community development minimums under the June 2020 rule. 

Read more on CRA in The Gold Book. 

What's New? ECOA (Reg B) Clarification

On March 9, 2021, the CFPB issued an Interpretive Rule to clarify that the prohibition against sex discrimination encompasses sexual orientation discrimination and gender identity discrimination, including discrimination based on actual or perceived nonconformity with sex-based or gender-based stereotypes and discrimination based on an applicant’s associations. Read more in The Gold Book, Regulation B.

What's New? 2021 Annual CRA Asset Size Threshold Adjustments

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 institution asset-size thresholds are not subject to the reporting requirements applicable to large banks and savings associations unless they choose to be evaluated as a large institution.

Annual adjustments to these asset-size thresholds are based on the change in the average of the Consumer Price Index for Urban Wage Earners and Clerical Workers (CPI-W).

Read more on Bank Size Criteria in The Gold Book.

What's New? 2021 Regulation Z Exemption Threshold

Based on the annual percentage increase in the CPI-W as of June 1, 2020, the protections of the Truth in Lending Act and the Consumer Leasing Act generally will apply to consumer credit transactions and consumer leases of $58,300 or less in 2021. This exemption amount remains unchanged from 2020. However, private education loans and loans secured by real property (such as mortgages) are subject to the Truth in Lending Act regardless of the amount of the loan.

Read more in The Gold Book. 

New CIP Rule Exemption

The FDIC, the Board of Governors of the Federal Reserve System, the Office of the Comptroller of the Currency, and the National Credit Union Administration, collectively the federal banking agencies (FBAs), with the concurrence of the Financial Crimes Enforcement Network (FinCEN), grant an exemption from the requirements of the customer identification program (CIP) rules for loans extended by banks and their subsidiaries to all customers to facilitate purchases of property and casualty insurance policies.

See Customer Identification Program in The Gold Book to learn more.

What's New? FCRA COVID-19 Relief

The Consumer Financial Protection Bureau issued guidance on consumer reporting during the COVID-19 pandemic. The frequently asked questions (FAQs) address responsibilities under the CARES Act and FCRA when information is furnished to consumer reporting agencies. Lenders they must comply with the credit reporting requirements of the CARES Act. Read more in The Gold Book.

What's New? Final Remittance Rule

On May 11, 2020, the Consumer Financial Protection Bureau issued a final rule (2020 Final Rule) amending the Remittance Transfer Rule. The rule is effective beginning July 21, 2020.  Click here to read more.

What's New? Additional CRA Guidance

The Gold Book has been updated with additional OCC guidance and FAQs for financial institutions. Click here.

IRS Postponement of Deadlines

IRS Forms 5498 reporting deadlines are postponed to August 31, 2020. 

The deadlines applicable to any of the following acts that would have fallen on or after April 1, 2020 and before July 15, 2020 have been postponed until July 15, 2020:

• Simplified Employee Pension (SEP) and Savings Incentive Match Plan for Employees of Small Employers (SIMPLE) plan contributions
• Indirect rollovers from employer sponsored retirement plans to IRAs
• 2019 traditional IRA, Roth IRA, and HSA regular contributions -(from previous guidance)
• 2019 CESA regular contributions
• Rollovers between IRAs, between HSAs, and between CESAs
• 120-day rollover period for first-time home buyers
• Repayment of a Qualified Reservist Distribution
• Deadline to remove excess or unwanted IRA contributions

FAQs on the CRA Related to COVID-19

Click here to read the Q & A.

Payments and Deposit Rules Impacted by COVID-19

The CFPB issued FAQs related to pandemic relief measures for accountholders. The answers clarify that terms of checking, savings, or prepaid accounts can be changed immediately due to the pandemic, if changes are favorable to the consumer. Institutions are reminded of their advance notice obligations if changes are not favorable to the consumer. The Aid describes other types of immediate relief such as fee waivers and proactive outreach, adding a reminder that stop payment orders must be honored. This Compliance Aid does not impose any new or changed regulatory requirements.

The CFPB FAQs may be found here.

More information may be found in The Gold Book sections covering Checking Accounts, Regulation E and Regulation D.

What's New? Compliance Aid for PPP loans

The CFPB issued a Compliance Aid to provide FAQs on ECOA/Regulation B notification requirements for Payroll Protection Plan loan applications. Click here to read more in The Gold Book.

What's New? COVID Flood Insurance Compliance

On March 9, the Federal Reserve Board issued a statement to encourage financial institutions to meet the financial services needs of their customers and members in areas affected by the coronavirus. Since that time, the Federal Reserve Board has received questions from state member banks regarding flood insurance compliance requirements during the national emergency due to the COVID-19 outbreak. Two flood insurance questions and answers are found here in The Gold Book. 

What's New? Elimination of Reg D Transfer Limit

The Federal Reserve Board has made a temporary revision to allow savings account holders to make an unlimited number of transfers or withdrawals. Banks may (but are not required to) eliminate the limitation of six transfers or withdrawals per month in order to allow people greater access to their personal savings during the coronavirus pandemic and time of economic uncertainty and widespread unemployment. The change also does not prohibit banks from charging their customers fees for transfers or withdrawals beyond the six transfer limit. 

What's New? Elimination of Reserve Requirements

The Federal Reserve Board reduced reserve requirement ratios to zero percent, effective March 26, 2020.

Read more in The Gold Book.

What's New? COVID-19 Mortgage Relief

The Office of the Comptroller of the Currency (OCC), along with the Board of Governors of the Federal Reserve System (Federal Reserve) and the Federal Deposit Insurance Corporation (FDIC) (collectively, the agencies), recognize the potential for Coronavirus Disease (also referred to as COVID-19) to adversely affect the customers and operations of financial institutions. The agencies encourage financial institutions to work with affected customers and communities, particularly those that are low- and moderate-income. The agencies recognize that such efforts—when consistent with safe and sound banking practices and applicable laws, including consumer protection laws—serve the long-term interests of these communities and the financial system.

See more in The Gold Book in the Community Reinvestment Act section and the Mortgage Servicing Rules section.

Also: New York Rules and New Jersey Rules.