Compliance & Regulatory News

NCUA to Remain Open, Credit Union Members’ Shares Insured, While Federal Government Closed

Agency Advises Credit Unions to Plan for Members’ Needs

ALEXANDRIA, Va. – The National Credit Union Administration will remain open, and individual accounts will remain insured, during the federal government shut-down.

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2018 HMDA Reporting Thresholds and Changes to Notices

ALEXANDRIA, Va. – Changes to the criteria requiring credit unions to record and report data under the Home Mortgage Disclosure Act became effective January 1, 2018. Other changes simplify requirements for responding to public requests for HMDA data.

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Amended Interpretive Guidance on Lending to Service Members Issued by Department of Defense

ALEXANDRIA, Va. – The Department of Defense (DOD) issued amended interpretive guidance on December 14, 2017, further explaining its existing regulation that implements the Military Lending Act.

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NJCUL ALERT: USAA Notice to FIs Seeking Patent Licensing Fees

Many financial institutions around the country, including credit unions, could soon be paying a price for the success of remote deposit capture. Originally created by USAA, remote deposit capture (RDC) has become a popular feature in most mobile banking apps. The issue…USAA is putting financial institutions on notice that it wants to start charging a licensing fee to use it.

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CUNA Staff Outlines ADA Threats, Strategy During Webinar, Recording Available

Nearly 1,000 credit union stakeholders tuned into to CUNA’s members-only webinar on Web site accessibility under the Americans with Disabilities Act (ADA) Thursday. For those unable to attend, registration is currently open to watch a recorded version of the webinar, which will be posted soon.

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CFPB Issues Civil Penalty Inflation Adjustments Final Rule

The Consumer Financial Protection Bureau (CFPB) is adjusting for inflation the maximum amount of each civil penalty within the Bureau’s jurisdiction.

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NJCUL ADA Update: Resources, Information, Advocacy

In anticipation of Americans with Disabilities Act (ADA) Web site compliance requirements, throughout 2017, the New Jersey Credit Union League provided critical communications and solutions for credit unions to evaluate their Web sites, as well as offered connections to partners and resources to mend deficiencies. For example, in October 2017, NJCUL’s Services Corporation (NSC) held an ADA Web site webinar, facilitated by CU Solutions Group.

This past week, a number of New Jersey credit unions have received demand letters threatening lawsuits for claimed ADA discrepancies on their respective Web sites. NJCUL President/CEO, David Frankil provided an urgent update to members last week via email regarding these letters. As of yesterday, the calls and emails continue to come in to NJCUL on this issue, and the number of credit unions that have received letters are being reported in upwards of 20 or more. There are sure to be more to come. To help credit unions navigate this issue, we ask that if you have received a demand letter or want to proactively address your Web site issues, please visit the ADA Web Site Compliance Advocacy page NJCUL launched last week. 

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CUNA Cybersecurity Conference Set for June 2018 in Nashville

For the fifth consecutive year, CUNA and the National Association of State Credit Union Supervisors (NASCUS) will provide credit union professionals the latest trends and tactics to safeguard them from cyberattacks.

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Reminder: New W-8BEN Rules

For IRS W-8BEN forms obtained on or after January 1, 2017, you must collect a date of birth for the foreign credit union member. However, if you have the foreign member’s date of birth in your files, you may use that information for reporting purposes and will not be required to treat a Form W-8BEN as invalid because it did not include a date of birth. Also, after January 1st, if you have an otherwise valid Form W-8BEN, but it is missing a foreign TIN, you are permitted to obtain the member’s foreign TIN on a written statement provided by the member (including a written statement transmitted by email) that indicates that the foreign TIN is to be associated with the member’s Form W-8BEN. Similarly, you are permitted to obtain the reasonable explanation for the absence of a foreign TIN in this manner.

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Special Alert: NJ Credit Union Receives ADA Demand Letter

HIGHTSTOWN, N.J. - The League was notified this morning that a small New Jersey credit union received a letter of violation stating the credit union’s Web site is not in compliance with requirements of the Americans With Disabilities Act (ADA) Web Content Accessibility Guidelines. The letter, from a California law firm, states that their client (who is blind) is entitled to “damages, attorney’s fees, and an accessibility injunction,” and suggests that the credit union contact them for a “confidential resolution” to avoid suit being filed within two weeks.

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NCUA Supervisory Priorities for 2018 Explained by CUNA

NCUA has released its list of supervisory priorities for 2018 in a letter to federally insured credit unions (17-CU-09). A recent CUNA CompBlog entry provides information on the letter, which is also available on NCUA’s Web site.

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McWatters Being Considered for CFPB Director Seat

According to recent articles published by Credit Union Journal and the Credit Union Times, President Trump is seriously considering nominating NCUA Chairman J. Mark McWatters as CFPB director.

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CUNA Notes Potential Burdens in NCUA Data Modernization

While CUNA supports NCUA’s commitment to examination modernization, it cautioned the agency against a one-size-fits all approach in a letter sent Thursday. CUNA’s letter was in response to NCUA’s request for information (RFI) on electronic data collection modernization.

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NJCUL VP of Compliance and Regulatory Affairs Nicola Foggie Earns Certification in Enterprise Risk Management

NJCUL congratulates Vice President of Compliance and Regulatory Affairs, Nicola Foggie, on obtaining the designation of CUNA Credit Union Enterprise Risk Management Expert (CUERME). Foggie plans to utilize the skills she learned, along with her compliance team, to help NJCUL member boards of directors and senior management navigate the process of identifying areas of risk and work to develop the strategies and methods to effectively manage risk across the organization through the use of a common risk management framework.

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The Benefits of Enterprise Risk Management

As business risks continue to increase, credit unions are finding it necessary to implement some sort of formal risk management system.  In an effective enterprise risk management (ERM) program credit unions can work to organize, plan and mange their risks and be ready to maximize opportunities. Organizations of all types that undertake an ERM program haver reported a variety of benefits from enhancing their risk management program and access to tools.

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Analysis of DOD’s Latest MLA Guidance

The Department of Defense published CUNA-requested guidance pertaining to the Military Lending Act last week. This new interpretive rule amends the guidance in three of the 19 questions and answers presented by DOD in August, and it clarifies a fourth issue not addressed in the August guidance.

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NCUA Finalizes Mergers Rule, Agency Reorganization

The NCUA board finalized two rules at its Thursday meeting, the final meeting of 2017. Both rules, on emergency mergers and agency reorganization, were approved unanimously.

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Final Emergency Merger, Reorganization Rules on NCUA Agenda

The NCUA board will consider final rules on emergency mergers and agency reorganization at its Thursday meeting, the final of 2017. The meeting is scheduled to begin at 10 a.m. (ET) Dec. 14, and will be streamed live on NCUA’s website.

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Executive Order Establishes New NCUA Seal

New Design Reflects NCUA’s Critical Role in Promoting Financial Stability

ALEXANDRIA, Va. – President Donald Trump has signed an Executive Order establishing the new official seal for the National Credit Union Administration, the agency announced Monday.

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NCUA’s Metsger Warns Taxi Medallion Crisis Could Lead to Loss Reserve Increase

ALEXANDRIA, Va. – The NCUA may be forced to increase loss reserves for the Share Insurance Fund as the value of taxi medallions plunges, putting credit unions that made medallion loans at risk, NCUA board member Rick Metsger said Friday, speaking at the Oregon Department of Financial Services CEO roundtable.

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FinCEN launches ‘FinCEN Exchange’

The Treasury’s Financial Crimes Enforcement Network (FinCEN) launched a new program last week, FinCEN Exchange, in an effort to enhance information sharing between law enforcement and financial institutions. Credit union participation in the program is voluntary, and the program does not introduce any new regulatory requirements.

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NY CU Files Lawsuit Over President’s CFPB Appointee

According to a recent article in the Credit Union Times, Lower East Side People’s Federal Credit Union filed a suit in U.S. District Court for the Southern District of New York following the resignation of Consumer Financial Protection Bureau (CFPB) Director Richard Cordray, contending that President Trump illegally appointed Office of Management and Budget Director Mick Mulvaney to serve as interim director of the agency.

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Comments on Proposed New Data Collection Format Due Jan. 2, 2018

The NCUA is seeking comments from stakeholders on its plans to modernize the formats for loan, deposit and investment data collected electronically during examinations. This proposal is part of the agency’s Enterprise Solution Modernization Program and is expected to provide benefits to the agency and to credit unions, including a more consistent examination process, more efficient use of examiner time and reduced burdens on credit unions. Visit the League’s regulatory Comment Calls page for the latest information on comment letter writing and comment calls.

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Fiduciary rule transition period extended

With the Department of Labor (DOL) finalizing an 18-month extension of the fiduciary rule’s applicability date, what should credit unions do during the extended transition time? The rule’s amended definition of “fiduciary” became effective June 9, but fewer conditions will apply to financial institutions and advisers until July 1, 2019.

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CUNA Concerned About HMDA Data Availability

CUNA outlined a number of concerns with the Consumer Financial Protection Bureau’s (CFPB) proposed policy guidance on disclosure of loan-level Home Mortgage Disclosure Act (HMDA) data, it wrote to the bureau last week.

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CFPB Takes Action Against Citibank for Student Loan Servicing Failures that Harmed Borrowers

Company Deceived Borrowers About Tax Benefits, Incorrectly Charged Late Fees and Interest, Sent Misleading Monthly Bills and Incomplete Notices

WASHINGTON – The Consumer Financial Protection Bureau (CFPB) took action against Citibank, N.A. for student loan servicing failures that harmed borrowers. Citibank misled borrowers into believing that they were not eligible for a valuable tax deduction on interest paid on certain student loans. The company also incorrectly charged late fees and added interest to the student loan balances of borrowers who were still in school and eligible to defer their loan payments. Citibank also misled consumers about how much they had to pay in their monthly bills and failed to disclose required information after denying borrowers’ requests to release loan cosigners. The Bureau is ordering Citibank to end these illegal servicing practices, and to pay $3.75 million in redress to consumers and a $2.75 million civil money penalty.

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Budget Briefing Video Available Online

ALEXANDRIA, Va. – The video recording of the Oct. 18th public briefing on the National Credit Union Administration’s proposed 2018-2019 budget is now available online here.

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Compliance: Six Months Until FinCEN’s CDD Rule is Effective

Credit unions now have less than six months to come into compliance with the Financial Crimes Enforcement Network's (FinCEN) Customer Due Diligence (CDD) rule, effective May 11, 2018. CUNA has developed a number of tools to assist credit unions, including a CDD checklistfinal rule summary, and CDD compliance chart

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NCUA 2018/2019 budget, OTR Methodology on Nov. 16 Meeting Agenda

NCUA’s 2018-2019 budget and the overhead transfer rate (OTR) methodology are highlights of NCUA’s Nov. 16 board meeting, according to the agenda released Thursday. The meeting is scheduled to begin at 10 a.m. (ET) Nov. 16, and a live video stream will be available.

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CUNA Mutual Group Hosting Emerging Risks Webinar for Smaller Cus and Board of Directors

Join CUNA Mutual Group's Risk & Compliance Consultants as they share the latest risks, trends, and losses impacting credit unions. By recognizing existing risk and anticipating the new, emerging ones, your credit union can minimize losses and confidently safeguard your organization.

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NCUA Encourages CUs to Submit the Voluntary Diversity Checklist by Dec. 30

ALEXANDRIA, Va. – NCUA’s Voluntary Diversity Checklist checklist is designed to help credit unions assess existing diversity and inclusion policies and practices, and identify opportunities to implement best practices in diversity and inclusion.

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Monday Deadline for Comments on CUNA's TCPA Petition

CUNA is urging credit union stakeholders to submit comments to the Federal Communications Commission supporting its Telephone Consumer Protection Act (TCPA) petition. CUNA filed its petition last month, and the FCC opened it for comment a week later, with comments due Nov. 6.

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State of New Jersey Requests Information from FIs on Tax Payers

It will soon be mandatory for financial institutions (FIs) to comply with the State of New Jersey Department of the Treasury Division of Taxation’s order to implement its Financial Institution Data Match (FIDM) program as outlined in its October 17, 2017 letter to financial institutions in the State, including credit unions. According to the State’s letter: New Jersey Statute N.J.S.A. 54-50-37b(2) allows the Division to develop a system for the exchange of data with financial institutions for the purposes of identifying the accounts of debtors owing past due New Jersey state taxes.” Click here to view instructions from the State for compliance and here to view the Memorandum of Understanding that financial institutions are expected to complete.

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Pending Regulatory Comment Calls

NJCUL wants your voice to be heard! Help your League and CUNA get the message through. For comment letters to have the greatest impact, we need to hear from you. Please consider whether and how these proposals would affect your credit union, then take action! Contact NJCUL Vice President of Compliance & Regulatory Affairs, Nicola Foggie, at nfoggie@njcul.org, for information on interpretation of the changed or new regulation. Click here to send your own letter through PowerComment.

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Final Supervisory Review Committee, Appeals Rules Published, Effective Jan.

ALEXANDRIA, Va. – The NCUA published its final rules on the supervisory review committee (SRC) and appeals procedures in the Federal Register Monday, both rules will be effective Jan. 1. The NCUA board finalized the rules at its October board meeting.

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NCUA Reminds CUs Planning and Testing Are Key to Being Able to Recover from a Disruption

As discussed in the May issue of The NCUA Report, business continuity planning is essential for all credit unions. No matter the size, every credit union is responsible for ensuring members have access to money and services. Being prepared for a possible interruption before it occurs is critical to your credit union’s ability to recover.

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NCUA: Protect Your Systems Against the EternalBlue Vulnerability

Credit unions need to ensure they aren’t vulnerable to ransomware like Petya or WannaCry that can exploit the security vulnerability EternalBlue found on Microsoft’s Windows-based systems.

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HMDA, Fair Lending Interagency Webinar Set for Nov. 16

WASHINGTON – The Home Mortgage Disclosure Act (HMDA) and other fair lending issues will be discussed by representatives from seven federal agencies, including the NCUA, during a live Webinar scheduled for Nov.16 at 2 p.m. There is no charge for the Webinar but registration is required.

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NCUA Webinar Will Discuss Benefits of Diversity for Credit Unions

Annual Diversity Self-Assessment Survey Now Under Way

ALEXANDRIA, Va. – Credit unions can learn about the many benefits of promoting diversity in their workforces and their membership on an upcoming webinar hosted by the National Credit Union Administration.

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NCUA Improves Appeals Process for Regulations and for Supervisory Actions

Share Insurance Fund Posts Quarterly Loss Due to Increased Loss Provisions

ALEXANDRIA, Va. – The NCUA Board held its eighth open meeting of 2017 Thursday and unanimously approved four items: a final rule enhancing due process and providing consistency with other federal financial institutions regulators in the supervisory appeals process; a final rule providing uniform, comprehensive procedures to govern the agency’s regulatory appeals process; a proposed rule to reduce regulatory burdens by removing some of the capital planning and stress testing requirements currently applicable to federally insured credit unions with assets of $10 billion or greater; and a request for information to be published in the Federal Register on standardizing the loan, deposit, and investment information collected electronically during examinations.

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CFPB Updates HMDA Implementation Materials & 2018 FIG

To support implementation of the recently issued 2017 HMDA Final Rule, the Consumer Financial Protection Bureau (CFPB) has updated the chart on the Collection and Reporting of HMDA Information about Ethnicity and Race.

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CUNA, CU Industry Reps Present at NCUA Budget Briefing

ALEXANDRIA, Va. -- CUNA recognizes NCUA has made improvements to its budget process reflected in this year’s proposed budget, CUNA Vice President of Research and Policy Analysis Mike Schenk told the agency during its budget briefing Wednesday. Schenk, along with other credit union industry representatives, was among the presenters at NCUA’s briefing on its proposed 2018-2019 budget.

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Required Disaster Preparedness Planning for Credit Unions

After weeks of hurricanes, and now wildfires, it’s more important than ever for credit unions to be prepared for disasters. Federally insured credit unions are required to have disaster recovery and business resumption plans to address all types of disruptions.

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Final Appeals, SRC Rule on NCUA’s Oct. 19 Meeting Agenda

Final appeals and supervisory review committee (SRC) rules are part of NCUA’s board meeting agenda next week. The meeting will come a day after NCUA conducts a briefing on its 2018-2019 budget.

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NCUA Posts 2018–2019 Budget Proposal

Agency Accepting Comments and Budget Briefing Presentation Requests

ALEXANDRIA, Va. – The National Credit Union Administration’s 2018–2019 budget proposal is now available online, and the agency is accepting comments as well as requests to present at its Oct. 18 budget briefing.

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League Hosts Free Equifax Legal Ramifications Webinar, Archive Available to Members

The League hosted a free webinar this morning with attorney Michael DuPont who discussed credit unions’ legal rights, potential involvement in class actions suits, and unforeseen ramifications resulting from the Equifax breach. He also covered the impact credit unions can expect and discussed the option of taking legal action. An archived recording of the webinar can be access by NJCUL members here.

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Early Analysis - Credit Unions See Numerous Improvements in CFPB Final Short-Term, Small Dollar Rule

WASHINGTON – The Consumer Financial Protection Bureau’s (CFPB) final short-term, small-dollar rule appears to have addressed many concerns addressed by CUNA, leagues, and credit unions, a big win for the credit union movement. CUNA continues to analyze the nearly 1,700-page final rule.

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CPFB Issues Interim Final, Proposed Mortgage Servicing Rules

WASHINGTON -- The Consumer Financial Protection Bureau (CFPB) issued an interim final rule Wednesday allowing flexibility to mortgage servicers about when they can communicate foreclosure options to borrowers who have requested communications cease. The interim final rule goes into effect Oct. 17.

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NCUA Publishes TCCUSF Closure, Ad Rule Proposal, Strategic Plan

ALEXANDRIA, Va. -- The NCUA’s plan to close the Temporary Corporate Credit Union Stabilization Fund, along with a proposed rule and the agency’s strategic plan, were published in the Federal Register Wednesday. The NCUA approved issuing the proposals, and closing the fund, at last week’s board meeting.

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MLA Credit Card Provisions Effective Today as Scheduled

WASHINGTON – The Department of Defense (DOD) has denied a request from CUNA and other organizations to delay the effective date of credit card provisions in the Military Lending Act (MLA), changes that are effective today, Oct. 3, 2017. CUNA wrote to the DOD in June asking for the delay due to lack of guidance, which they said creates compliance challenges that could result in less availability of credit to servicemembers and families.

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FFIEC Announces Availability of 2016 Data on Mortgage Lending

The Federal Financial Institutions Examination Council (FFIEC) announced the availability of data on mortgage lending transactions at 6,762 U.S. financial institutions covered by the Home Mortgage Disclosure Act (HMDA).

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NCUA Board Approves TCCUSF Merger, Refunds Start in 2018

The NCUA Board voted to close the Temporary Corporate Credit Union Stabilization Fund (TCCUSF), merge it with the Share Insurance Fund, and begin issuing refunds in 2018, according to documents available at the start of today’s board meeting.

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League InfoSight Announces ComplySight Enhancement, Complaint Management Capabilities Available at No Additional Cost

LANSING, Mich. League InfoSight, a collaborative effort of 15 credit union leagues/associations—including NJCUL—and the Credit Union National Association (CUNA), announced today that it has added the ability to log and manage complaints to ComplySight, its self-assessment tool credit unions can use to grade themselves on compliance with federal regulations.

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CFPB Issues Reg B Final Rule and Executive Summary

WASHINGTON – The Consumer Financial Protection Bureau (CFPB) has issued a final rule to amend Regulation B to provide creditors flexibility in complying with Regulation B in order to facilitate compliance with Regulation C and transition to the 2016 URLA. To support implementation of the rule, the Bureau has issued an Executive Summary.

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NCUA Board Re-Schedules September Closed Meeting

ALEXANDRIA, Va. – The National Credit Union Administration Board has re-scheduled its September closed meeting.

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CUNA to Host Post-Data Breach Webinar w/ FS-ISAC

CUNA will join CUNA Mutual Group and the Financial Services Information Sharing Center (FS-ISAC) for a webinar Thursday on mitigating fraud risk in the wake of the Equifax data breach. Registration is now available for the call, which is open to CUNA and CUNA Mutual Group members only and is scheduled for 1 p.m. (ET) Thursday.

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Compliance: 'Mailbox rule' for TRID timing requirements

CUNA's compliance staff receives a number of questions about the TILA-RESPA integrated disclosure (TRID) rule, leading to publication of a recent CompBlog post addressing means of delivery and timing requirements for the Loan Estimate and Closing Disclosure forms.

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New Form I-9 Takes Effect Today

WASHINGTON -- Employers must begin using the new Form I-9 starting today. Form I-9 is used for verifying the identity and employment authorization of individuals hired for employment in the U.S. All employers must ensure proper completion of Form I-9 for each individual they hire for employment in the U.S. This includes citizens and non-citizens. The federal government released the new form on July 17, the second such update this year, according to the news Web site HR Dive.

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NCUA Sets Budget Briefing for Oct. 18

Draft Budget Available Week of Oct. 2; Deadline for Comments Oct. 27

ALEXANDRIA, Va. – The National Credit Union Administration will hold a public briefing on its proposed 2018–2019 budget on Wednesday, Oct. 18, from 2 p.m. to 4 p.m. Eastern in the agency’s boardroom in Alexandria, Virginia.

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Education Department Ends Pact with CFPB, Cites Improper Actions

WASHINGTON – The Education Department, in a recent letter to CFPB Director Richard Cordray, said the bureau violated terms of a partnership with the department regarding the sharing of federal student loan information and announced that the pact will be terminated.

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Deadline Approaching for CUs to File Claims in Home Depot Suit

Credit unions have until Sept. 14 to file a claim for payment under the settlement reached between plaintiffs and Home Depot in that data breach lawsuit. CUNA, as well as leagues and credit unions, are among the plaintiffs in the lawsuit, which stems from a 2014 data breach that compromised 56 million credit and debit cards.

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Fed Releases Next Steps for Improving Payment System

The Federal Reserve recently outlined next steps to improve the nation's payment system. The Fed provided refreshed strategies and nine new tactics to achieve its desired outcomes with guidance from two national task forces to make payments faster and more secure.

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Regulators Update CECL FAQs Documents

The Federal Reserve, FDIC, NCUA OCC updated their frequently asked questions (FAQs) document on the Financial Accounting Standards Board's (FASB) current-expected-credit-losses (CECL) standard, focusing on regulatory and supervisory expectations, among other things.

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The Cost of Elder Financial Abuse Reported to Be 12 Times More Than Previously Believed

Over the past few years, a frequently cited estimate of the amount of money lost to elder financial abuse was $2.9 billion. This estimate included the caveat that the crime is largely underreported. A 2015 study by True Link reveals that elderly Americans lose $36.48 billion each year to financial abuse. This new study attempts to gather more of the unreported information and broaden the definition of elder abuse to include deceptive practices (even if technically legal).

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Why Bank Secrecy Act Reporting Matters

Credit union employees responsible for BSA compliance and reporting feel the burden of their work, but they don’t always see the connection to law enforcement actions. But BSA reporting does have real-world implications, according to FinCEN.

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The Final Countdown to Same-Day ACH: CUNA’s CompBlog Warns CUs Not to ‘Get Caught Flat Footed’

September 15 is almost upon us: the date of the second and most significant rollout of Same-Day ACH capabilities. If this comes as news to you, it’s safe to assume your credit union does not plan to originate Same-Day Debits for members in the early stages of its availability. This does not mean you’re able to sit on the sidelines as a spectator, however, CUNA’s latest CompBlog article points out.

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NCUA Grants $1.8M to Low-Income CUs

ALEXANDRIA, Va. – The NCUA awarded grants totaling more than $1.8 million to 251 low-income credit unions through the Community Development Revolving Loan Fund (CDRLF), the agency announced.

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CUNA Outlines way to Equitable, Proportional TCCUSF Refunds

CUNA followed up last week’s letter to NCUA on the closing of the Temporary Corporate Credit Union Stabilization Fund (TCCUSF) Tuesday with a letter on the agency’s proposal to update its share insurance rule in order to facilitate distribution of funds. Updating the rule addresses the only way allowed by the Federal Credit Union Act to distribute funds after closing the TCCUSF.

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CFPB Announces 2018 Reg. Z Thresholds

The Consumer Financial Protection Bureau (CFPB) announced 2018 thresholds applicable under Regulation Z last week. The bureau is required  to adjust on an annual basis certain thresholds under Regulation Z.

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Metsger: ‘We Will Carefully Weigh All Points of View’ on Stabilization Fund

Board Member Addresses NASCUS on Closure, Mergers Rule, Reorganization

SAN DIEGO, Ca. – National Credit Union Administration Board Member Rick Metsge reminded credit unions of the Sept. 5 deadline for submitting comments on the proposed plan to close the Temporary Corporate Credit Union Stabilization Fund and make a Share Insurance distribution in 2018, saying the agency “will carefully weigh all points of view.”

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CUNA Backs TCCUSF Closure Plan, Concerned with NOL Rise

CUNA fully supports NCUA’s proposed plan to close the Temporary Corporate Credit Union Stabilization Fund, merge its assets into the share insurance fund and repay credit unions a portion of stabilization fund premiums in 2018. CUNA is the only national trade association for credit unions advocating for refunds to begin in 2018.

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CFPB Announces Annual Dollar Thresholds in Truth In Lending Act Regulations For Certain Credit Transactions

Adjustments Based on Annual Percentage Change in Consumer Price Index

WASHINGTON, D.C. – The Consumer Financial Protection Bureau (CFPB) announced its annual adjustments to the dollar amounts of various thresholds under Truth in Lending Act (TILA) regulations that will apply to certain consumer credit transactions in 2018.

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CFPB Temporarily Changes Mortgage Data Rule Reporting Threshold for Community Banks and Credit Unions

Final Rule Also Clarifies Certain Requirements to Help Companies Comply

WASHINGTON – The Consumer Financial Protection Bureau (CFPB) today issued a rule amending the 2015 updates to the Home Mortgage Disclosure Act (HMDA) rule. The Bureau has temporarily changed reporting requirements for banks and credit unions that issue home-equity lines of credit, and clarified the information that financial institutions are required to collect and report about their mortgage lending. 

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NCUA Honors Trump’s Order to Roll Back Regulation with ‘Sweeping Reg Reform Plan’

ALEXANDRIA, Va. – The National Credit Union Administration (NCUA) recently revealed “its sweeping regulatory reform plan” which aligns with President Donald Trump’s order to massively scale back government regulations. Trump’s executive order, released in January, asks that for every one new regulation issued, at least two prior regulations be identified for elimination.

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What You Need to Know About Demand Letters and UDAAP

In CUNA's latest Back to Basics blog post, Michael Christians discusses the deceptive prong of the Consumer Financial Protection Bureau's (CFPB) prohibition against unfair, deceptive and abusive acts and practices (UDAAP). Specifically, identifying language that may be included in your credit union's demand letters that likely won't pass the UDAAP smell test.

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NCUA Board Meeting Video Available

ALEXANDRIA, Va. – The video recording of the July 20, 2017, open meeting of the National Credit Union Administration Board is now available on the agency’s website.

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Stabilization Fund Webinar Available Online

Comments on the Proposed Plan Due by Sept. 5
ALEXANDRIA, Va. — The National Credit Union Administration has now posted the Aug. 9 webinar covering its proposed plan to close the Temporary Corporate Credit Union Stabilization Fund.

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NCUA Seeks Comments on Sweeping Regulatory Reform Plan

Four-Year Plan Maps a “Significant and Comprehensive Relief Effort”
ALEXANDRIA, Va. – The National Credit Union Administration is asking credit union stakeholders to read and comment on a package of regulatory reforms recommended by an internal agency task force.

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DoD Reaffirms October 3rd MLA Effective Date for Credit Cards

Despite CUNA's ongoing advocacy efforts with the Department of Defense (DOD) to extend the Military Lending Act's (MLA) effective date for credit card accounts, DOD recently reaffirmed the October 3, 2017 effective date. 

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Final TRID Rule Analysis Available

WASHINGTON -- CUNA’s final rule analysis of the Consumer Financial Protection Bureau’s (CFPB) changes to the Truth in Lending Act-Real Estate Settlement Procedures Act integrated disclosures (TRID) rule is now available. The bureau published the final rule in the Federal Register last week, making it effective Oct. 10, with a mandatory compliance date of Oct. 1, 2018.

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Back-2-Basics: ESIGN

The Electronic Signatures in Global and National Commerce Act of 2000 ("ESIGN") promotes the use of electronic signatures and records in commercial transactions by granting them the same legal validity and enforceability as paper records and handwritten signatures.

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CUNA Final Rule Analysis: TRID 2.0

CUNA Compliance is pleased to announce publication of its Final Rule Analysis ("FRA") which discusses the Consumer Financial Protection Bureau's ("CFPB") recently issued rule amending the Integrated Disclosure Rule ("TRID").

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CFPB Unveils Prototypes of "Know Before You Owe" Overdraft Disclosure Designed to Make Costs and Risks Easier to Understand

WASHINGTON – The Consumer Financial Protection Bureau (CFPB) unveiled new Know Before You Owe overdraft disclosure prototypes designed to improve the model form that banks and credit unions already provide to consumers weighing overdraft coverage. The Bureau is currently testing four prototypes that each have a simple, one-page design aimed at making the costs and risks of opting in to overdraft coverage easier to understand and evaluate. People who frequently attempt to overdraw their checking accounts typically pay almost $450 more in fees if they opted in to debit card and ATM overdraft coverage, according to a new CFPB study published today. The study found that most of these frequent overdrafters are financially vulnerable, with lower daily balances and lower credit scores than people who do not overdraft as often.

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NCUA’s Final CDFI Qualification Round Runs Aug. 7 to Sept. 1

Streamlined Application Process Can Help Eligible Credit Unions

ALEXANDRIA, Va. – The National Credit Union Administration is hosting its third and final round for credit unions to qualify to use the streamlined application for certification as community development financial institutions.

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Shine a Spotlight on Elder Financial Abuse

Elder abuse affects an estimated five million victims annually, and financial exploitation is among the most common forms.

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Compliance Alert: Enforcement of Stricter Public Record Standards

Since July 1, the three nationwide consumer reporting companies (Equifax, Experian and TransUnion) began enforcing stricter standards on the public records they collect. As part of the previously announced National Consumer Assistance Plan (NCAP), the credit bureaus have developed “enhanced” public record data standards for the collection and timely updating of civil judgments and tax liens.

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View MBL Guidance as a ‘Road Map’

As NCUA begins carrying out examinations under the revised member business lending (MBL) rule, credit unions need to ensure their lending operations meet all of the rule's criteria.

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The Importance of Applying Software Updates, AKA Patches, and Enabling Automatic Updates

What are patches? A “patch” is a fix, or an update to software. Most software vendors release updates to patch or fix vulnerabilities, flaws, and weaknesses also known as bugs in their software. Because intruders can exploit these bugs to attack your computer, keeping your software updated is important to prevent infection.

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NCUA Board Re-Schedules September Meetings

ALEXANDRIA, Va. – The National Credit Union Administration Board has re-scheduled its September open and closed meetings to Thursday, Sept. 28, beginning at 10 a.m. Eastern.

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NJCUL Hosts Another FREE Compliance Webinar Regulatory Update: BSA Awareness

HIGHTSTOWN, N.J. – On Friday, NJCUL’s Shared Compliance Manager, Donna Pancoast, CUCE, BSACS, hosted a FREE regulatory update webinar entitled “Bank Secrecy Act Awareness”, which is now archived and available for member credit unions.

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NCUA Board Proposes Closing Stabilization Fund and Providing a Distribution in 2018

ALEXANDRIA, Va. – The NCUA board Thursday unanimously approved a request for comment on a proposed plan to close the Temporary Corporate Credit Union Stabilization Fund this year, 4 years ahead of schedule. The proposed plan would provide credit unions with a National Credit Union Share Insurance Fund distribution in 2018, estimated to be between $600 million and $800 million.

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NCUA Announces Plans to Restructure: Regional Offices Will Consolidate; Staffing Will be Reorganized

ALEXANDRIA, Va. — Greater efficiency, responsiveness, and cost-effectiveness are goals of a long-range agency restructuring plan the National Credit Union Administration Board announced today.

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June 2017 NCUA Board Meeting Video Available

ALEXANDRIA, Va. – The video recording of the June 23, 2017, open meeting of the National Credit Union Administration Board is now available on the agency’s website.

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Additional Resources Have Been Posted to the CFPB’s Home Mortgage Disclosure Act (HMDA) Resources for HMDA Filers Web Page

The Resources for HMDA Filers Web page of the Consumer Financial Protection Bureau’s site has been updated with additional resources. Modifications have been made to the Technology Preview, Filing Instructions Guide for data collected in 2017, Filing Instructions Guide for data collected in or after 2018, and Frequently Asked Questions (FAQs).

These materials are also accessible from the FFIEC website.

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PowerComment is Moving!

PowerComment, the easy to use online tool that allows you to comment on new or proposed regulation, is moving from CUNA, returning to the California and Nevada Credit Union Leagues.  Never fear, you will still be able to use PowerComment, however, you will no longer have to use your CUNA login. However, you will be required to create a new PowerComment login. As always, feel free to contact NJCUL’s VP of Compliance and Regulatory Affairs, Nicola Foggie, first for help navigating the latest in proposed regulations or changes to state and federal laws, as well as help in writing and submitting a comment letter at nfoggie@njcul.org or call 1-800-792-8861, ext. 112.  Commenting on new or changed regulation is the best way to allow your voice to be heard! 

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NCUA Chairman McWatters Asks CFPB Director Cordray to Exempt Largest Credit Unions from CFPB’s Examination and Enforcement Authority

Letter Stresses Cooperation to Ease Burdens on Credit Unions

ALEXANDRIA, Va. – National Credit Union Administration Chairman J. Mark McWatters wrote Consumer Financial Protection Bureau Director Richard Cordray to request CFPB provide a conditional exemption for credit unions with assets of more than $10 billion from its examination and enforcement authority.

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CUNA Hosting Webinar to Examine Oct. 3 MLA Credit Card Expansion

CUNA will host a special webinar, “Military Lending Act Part Two: New Credit Card Rules Effective Date Oct. 3, 2017,” on July 13 at 11 a.m. (CT). The webinar will analyze the impact of the Oct. 3 expansion of the Military Lending Act (MLA), which will add credit cards to the list of loan products governed by the regulation.

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CFPB Files Complaints Against Two Credit Repair Companies

WASHINGTON – The CFPB filed two complaints and proposed final judgments in federal court against four California-based credit repair companies and three individuals for misleading consumers and charging illegal fees. The Bureau alleges that the companies not only charged illegal advance fees for credit repair services, but also misrepresented their ability to repair consumers’ credit scores.

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CFPB Releases State-Level Snapshot of Consumer Complaints

Report Provides National and State-by-State Overviews of the Complaints Submitted to the Bureau

WASHINGTON – The Consumer Financial Protection Bureau (CFPB) released a special edition of its monthly complaint report, providing a snapshot of consumer complaints submitted across the country. For each state and the District of Columbia, the report provides statistics on complaint volume, the products and services generating the most complaints, company response rates, and a look at complaints from servicemembers and older Americans. The report also gives a national overview and spotlights narratives submitted by consumers regarding their experience with the CFPB’s complaint process. Overall, the Bureau has received over 1,218,600 complaints as of June 1, 2017.

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McWatters Named NCUA Chairman

ALEXANDRIA, Va. – President Donald J. Trump has designated Acting National Credit Union Administration (NCUA) Board Chairman J. Mark McWatters as the tenth Chairman of the NCUA Board, effective June 23.

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NCUA June Meeting Summary

NCUA's agenda for the June meeting consisted of three final rules, a proposed rule, a request for comment, and a board briefing.

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NCUA Issues Legal Opinion Pertaining to a Federal Credit Union's Authority to Issue and Sell Securities

In a recently released opinion letter, NCUA opined that a federal credit union can issue and sell securities as long as it meets the three-pronged test detailed in 721.2 of NCUA's regulations that covers items considered incidental powers even though the activity is not considered preapproved under 721.3.

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CUNA Analysis of FHLB Change Starting July 5

With privately insured credit unions that meet certain requirements eligible to join the Federal Home Loan Bank (FHLB) program starting July 5, CUNA has developed a final rule analysis with an overview of new requirements.

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CUNA Analysis of FHLB Change Starting July 5

With privately insured credit unions that meet certain requirements eligible to join the Federal Home Loan Bank (FHLB) program starting July 5, CUNA has developed a final rule analysis with an overview of new requirements. The FHLB program serves as a low-cost source of liquidity for financial institutions.

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CUNA Outlines Recent Changes to CUNA's MAPR Calculator

If you have visited CUNA's MAPR calculators recently, you might have noticed a few changes. CUNA currently offers a Closed-End Loan calculator with a Known Monthly Payment and an Open-End Loan calculator.

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Scam Alert: The FTC Doesn’t Need Your Bank Info

Some people have gotten an email that claims to be from Maureen Ohlhausen, the FTC’s Acting Chairman. But it’s not. The email asks you to give your bank account information – so, it says, you can get money from the government’s settlement with Western Union. The email is a scam to steal your financial information.

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NCUA Releases New Call Report Form, Instructions

ALEXANDRIA, Va. – NCUA has released its new call report form and accompanying instructions, which become effective Sept. 30. For credit unions engaged in commercial lending, most notable are the updates reflecting the January 2017 changes to the member business lending (MBL) rule.

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CUNA CompBlog: Federal Reserve Raises Federal Funds Interest Rates

On Wednesday June 14, 2017, the Federal Open Market Committee (FOMC), which sets monetary policy for the federal Reserve, announced it would raise interest rates by a quarter point (0.25%) due to increasing concern over tight labor markets and the related risk of rising inflation pressures, bringing the target range to 1.00% to 1.25%.

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CUNA’s CompBlog Dicusses Escrow Account Shortages and Deficiencies

In this installment of the CUNA CompBlog Back to Basics series, CUNA discusses a credit union's available options for handing escrow account shortages and deficiencies under the Real Estate Settlement and Procedures Act (RESPA). An escrow shortage or deficiency occurs when there is not enough money in the escrow account to cover the monthly payment. This can happen for a variety of reasons, but one of the most common reasons is an increase in property taxes, usually the result of the borrower's property assessment going up. So what should a credit union do when an increased tax or insurance bill comes in and the account does not have sufficient funds to cover the payment.

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NCUA Board Re-Schedules June Meetings

ALEXANDRIA, Va. – The National Credit Union Administration Board has re-scheduled its June open and closed meetings.

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