Alerts Now
Stay informed of all regulatory changes regardless of stage! Receive the latest Financial Services industry compliance news every week, including summaries of relevant announcements from more than 20 different regulatory bodies and overviews of personnel and products affected. Focusing on the changes that may impact your training and policy management programs our service covers the following agencies and more:
Federal Reserve Board finalizes clarifying and technical updates to its policy governing the provision of intraday credit to healthy depository institutions with accounts at the Federal Reserve Banks
Issue Date: | December 2, 2022 |
Agency: | Federal Reserve | Highlights: | The Federal Reserve Board on Friday finalized clarifying and technical updates to its policy governing the provision of intraday credit to healthy depository institutions with accounts at the Federal Reserve Banks. The updates expand access to collateralized intraday credit under the Policy on Payment System Risk (known as PSR policy) while providing greater clarity to institutions, streamlining administrative requirements, and supporting the launch of the FedNow℠ Service. The final updates are substantially similar to the proposal issued in May 2021. |
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Personnel Affected: | deposit operations |
Status: | Effective |
Keywords: | deposit operations |
Effective Date: | 02/10/2023 |
Institution Types Affected: | Institutions with accounts at Federal Reserve Banks |
Institution Action Items: | Review deposit operations procedures |
Institutional Products Affected: | Deposit products |
Federal Reserve Board invites public comment on proposed principles providing a high-level framework for the safe and sound management of exposures to climate-related financial risks for large banking organizations
Issue Date: | December 2, 2022 |
Agency: | Federal Reserve | Highlights: | The proposed principles would apply to banking organizations with more than $100 billion in total assets and address both the physical risks and transition risks associated with climate change. The proposed principles would cover six areas: governance; policies, procedures, and limits; strategic planning; risk management; data, risk measurement and reporting; and scenario analysis. |
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Personnel Affected: | Chief Risk Officer |
Status: | Comments Due |
Keywords: | climate change, business continuity |
Effective Date: | 02/10/2023 |
Institution Types Affected: | Banks with more than $100 billion in assets |
Institution Action Items: | Review the proposed rule and submit comments |
Policies Affected: | Risk management policies |
Institutional Products Affected: | All products |
CFPB Issues Guidance to Address Shoddy Investigation Practices by Consumer Reporting Companies
Issue Date: | November 29, 2022 |
Agency: | CFPB | Highlights: | Today, the Consumer Financial Protection Bureau (CFPB) issued a circular to affirm that neither consumer reporting companies nor information furnishers can skirt dispute investigation requirements. The circular outlines how federal and state consumer protection enforcers, including regulators and attorneys general, can bring claims against companies that fail to investigate and resolve consumer report disputes. The CFPB has found that consumer reporting companies and some furnishers have failed to conduct reasonable investigations of consumer disputes and to spend the time necessary to get to the bottom of inaccuracies. These failures can affect, among other things, people’s eligibility for loans and interest rates, for insurance, and for rental housing and employment. |
Reference: | https://www.consumerfinance.gov/about-us/newsroom/cfpb-issues-guidance-to-address-shoddy-investigation-practices-by-consumer-reporting-companies/ |
Personnel Affected: | consumer credit reporting personnel |
Status: | Guidance |
Keywords: | credit reports |
Effective Date: | |
Institution Types Affected: | consumer reporting companies, furnishers of financial information |
Institution Action Items: | review policies for investigating FCRA-related complaints |
Institutional Products Affected: | consumer credit products |
FTC Extends Deadline by Six Months for Compliance with Some Changes to Financial Data Security Rule
Issue Date: | November 29, 2022 |
Agency: | FTC | Highlights: | The Federal Trade Commission today announced it is extending by six months the deadline for companies to comply with some of the changes the agency implemented to strengthen the data security safeguards financial institutions must put in place to protect their customers’ personal information. The deadline for complying with some of the updated requirements of the Safeguards Rule is now June 9, 2023. |
Reference: | https://www.ftc.gov/news-events/news/press-releases/2022/11/ftc-extends-deadline-six-months-compliance-some-changes-financial-data-security-rule |
Personnel Affected: | Chief Technology Officer |
Status: | Effective |
Keywords: | cybersecurity, data security |
Effective Date: | 06/09/2023 |
Institution Types Affected: | all financial institutions |
Institution Action Items: | continue to implement data security policies for complying with the Safeguards Rule |
FTC Explores Changes, Possible Expansion of Its Business Opportunity Rule
Issue Date: | November 29, 2022 |
Agency: | FTC | Highlights: | The FTC is inviting the public to comment not only on the potential expansion of the rule, but also on the effectiveness of the existing rule, including whether it should be retained or eliminated, as well as other changes that should be made to the rule. |
Reference: | https://www.ftc.gov/news-events/news/press-releases/2022/11/ftc-explores-changes-possible-expansion-its-business-opportunity-rule |
Personnel Affected: | commercial bankers |
Status: | Comments Due |
Keywords: | fraud |
Effective Date: | 01/20/2023 |
Institution Types Affected: | all institutions |
Institution Action Items: | submit relevant comments to the FTC |
Institutional Products Affected: | commercial loans, commercial deposit products |
The Acceleration of Faster ACH Payments Continues with Late Night ACH
Issue Date: | November 29, 2022 |
Agency: | NACHA | Highlights: | The new service enhancement provides additional ACH file distributions to receiving institutions but does not change ACH settlement times or receiving institution processing requirements. Receiving institutions at their option may process these files when received to better reflect customer account balances over a full-day cycle or a weekend. For example, a receiving institution could show by Saturday morning pending credits and debits to a customer’s account that are received on Friday night, allowing the customer to have better knowledge of what their account balance will be at the opening of business on Monday morning. |
Reference: | https://www.nacha.org/news/acceleration-faster-ach-payments-continues-late-night-ach |
Personnel Affected: | deposit operations |
Status: | Announced |
Keywords: | ACH |
Effective Date: | 11/14/2022 |
Institution Types Affected: | depository institutions |
Institution Action Items: | review ACH settlement policies |
Institutional Products Affected: | deposit accounts |
SEC Proposes New Oversight Requirements for Certain Services Outsourced by Investment Advisers
Issue Date: | October 26, 2022 |
Agency: | SEC | Highlights: | The Securities and Exchange Commission today proposed a new rule and rule amendments under the Investment Advisers Act of 1940 to prohibit registered investment advisers from outsourcing certain services and functions without conducting due diligence and monitoring of the service providers. |
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Personnel Affected: | Compliance Officer and Investment Advisors |
Status: | Proposal |
Keywords: | proposal |
Effective Date: | 12/21/2022 |
SEC Adopts Amendments to Modernize Fund Shareholder Reports and Promote Transparent Fee- and Expense-Related Information in Fund Advertisements
Issue Date: | October 26, 2022 |
Agency: | SEC | Highlights: | The rule amendments will require funds to provide concise, tailored shareholder reports that highlight key information, such as fund expenses, performance, and portfolio holdings. The instructions for the revamped reports will encourage the use of graphic and text features to make them more effective. Funds will be required to tag the information in their reports in a structured data format. Further, the rule amendments require funds to make certain information that may be more relevant to investors and financial professionals who desire more in-depth information available online and available for delivery free of charge to investors on request. That information will no longer appear in fund’s shareholder reports but will remain available to investors on a website identified in the shareholder report and must be filed semi-annually with the Commission. |
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Personnel Affected: | Compliance officer, CFO, Accounting Department, Audit Department, Marketing Department |
Status: | Amended Rule |
Keywords: | shareholder reports |
Effective Date: | 04/26/2022 |
CFPB Issues Guidance to Help Banks Avoid Charging Illegal Junk Fees on Deposit Accounts
Issue Date: | October 26, 2022 |
Agency: | CFPB | Highlights: | Today, the Consumer Financial Protection Bureau (CFPB) issued guidance about two junk fee practices that are likely unfair and unlawful under existing law. The first, surprise overdraft fees, includes overdraft fees charged when consumers had enough money in their account to cover a debit charge at the time the bank authorizes it. The second is the practice of indiscriminately charging depositor fees to every person who deposits a check that bounces. The penalty is an unexpected shock to depositors who thought they were increasing their funds. |
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Personnel Affected: | Compliance Officer, Retail Management, Marketing |
Status: | Guidance |
Keywords: | deposit accounts, fees, overdrafts |
Effective Date: |
FHFA Announces Targeted Pricing Changes to Enterprise Pricing Framework
Issue Date: | October 24, 2022 |
Agency: | FHFA | Highlights: | The Federal Housing Finance Agency (FHFA) today announced targeted changes to Fannie Mae and Freddie Mac’s (the Enterprises) guarantee fee pricing by eliminating upfront fees for certain borrowers and affordable mortgage products, while implementing targeted increases to the upfront fees for most cash-out refinance loans. |
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Personnel Affected: | MLOs |
Status: | Announced |
Keywords: | Fannie Mae, Freddie Mac |
Effective Date: | 02/01/2023 |