Compliance & Regulatory News

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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McWatters Discusses Goals for Change

NCUA Working to Provide Regulatory Relief, Close Stabilization Fund

WASHINGTON – Credit unions can expect more regulatory relief and streamlined operations from the National Credit Union Administration in the future, Acting Board Chairman J. Mark McWatters said recently.

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NCUA's New Call Report Form and Instructions are Now Available!

NCUA has released its new 5300 Call Report Form and accompanying Form Instructions, which become effective September 30, 2017.  This release is especially important for credit unions engaged in commercial lending because the previous version of the call report had not yet been updated to reflect the January 2017 changes to the Member Business Loans (MBL) rule.

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Register Now for NCUA’s Upcoming CDRLF Grant Webinar

Interested in applying for a NCUA grant this year? Staff from NCUA’s Office of Small Credit Union Initiatives will discuss what’s new and improved for the 2017 Community Development Revolving Loan Fund grant program during a 90-minute webinar on Wednesday, June 14th at 2:00 p.m. Eastern.

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FinCEN to Update Currency Transaction Report

In August of 2017, the Currency Transaction Report (CTR) available on the BSA E-Filing System will be updated to adhere to the changes defined in Federal Register notice posted on February 20th , 2016. New or updated data fields will be added to the online discrete CTR as well as the CTR batch files. The new or updated data fields are...

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Today: Deadline for NCUA Consulting Nominations

The deadline for credit union nominations for the next Consulting cycle is today, May 31 at 5 p.m. Eastern.

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FinCEN Changes to CTR Start in August

The Currency Transaction Report (CTR) available on the Bank Secrecy Act (BSA) e-filing system will be updated in August, the Treasury’s Financial Crimes Enforcement Network (FinCEN) announced last week. These changes are defined in a Federal Register notice published by FinCEN in February.

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NCUA Issues Second Quarter Newsletter

Read the latest issue of The NCUA Report

ALEXANDRIA, Va. – The National Credit Union Administration released today the second quarter edition of its newsletter.

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NCUA Board Proposes Rules on Mergers, Appeals

Stabilization Fund Reports Continued Positive Net Position

ALEXANDRIA, Va. – The National Credit Union Administration Board held its fourth open meeting of 2017 at the agency’s headquarters last week and unanimously approved three items...

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Compliance: Safe Harbors for Federal Benefit Garnishment

CUNA’s compliance staff was recently asked about a garnishment order for a member’s account that receives federal benefits. The credit union performed a 2-month account review, which determined the member did not have enough “unprotected funds” to honor the garnishment order, and the member contacted the credit union to request the order be paid in full using those funds.

Can the credit union do this?

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Second CDFI Streamlined Certification Invitation Round Closes May 26

Federally insured low-income credit unions can now apply for certification as community development financial institutions through the streamlined application process developed by NCUA and the Community Development Financial Institutions Fund. The second round of NCUA’s program closes May 26.

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NCUA: Be Sure Your Cyber Defenses are Ready

ALEXANDRIA, Va. – In the wake of the “WannaCry” global ransomware attack, the National Credit Union Administration (NCUA) reminds federally insured credit unions to verify they have effective controls in place to prevent similar attacks.

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April 2017 NCUA Board Meeting Video Available

ALEXANDRIA, Va. – The video recording of the April 20, 2017, open meeting of the National Credit Union Administration (NCUA) Board is now available on the agency’s Web site.

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May 25 Webinar Precursor to CUNA Reg Burden Study

Credit unions interested in participating in CUNA’s updated regulatory burden study are urged to register now, in time for an introductory webinar scheduled for next week.

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A Look at the SCRA’s 6% Interest Rate Cap

The Servicemembers Civil Relief Act (SCRA) is designed to protect individuals on full-time active military duty who have been materially affected by their service. A recent CUNA CompBlog back-to-basics post examines one significant aspect of the SCRA: the 6% interest rate limit.

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Federation Hosting Live Webinar Demo of FFIEC Risk Assessment Tool May 23rd

Join the National Federation of Community Development Credit Unions (Federation) on May 23rd for a live demo of the FFIEC Cybersecurity Assessment Tool, developed by the Federal Financial Institutions Examination Council (FFIEC) to help institutions identify their risks and determine their cybersecurity preparedness. 

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Collateral, LTV, Guarantees in New MBL Rule

ALEXANDRIA, Va. – NCUA’s member business lending (MBL) rule has been in effect for more than five months now, and credit unions are still working on implementing the rule’s changes.

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NCUA Settles Two MBS Suits, Recoveries Hit $5.1 Billion

ALEXANDRIA, Va. – NCUA announced two large legal recoveries this week from claims relating to mortgage-backed securities: $445 million from UBS and $400 million from Credit Suisse. The recoveries stem from claims arising from losses related to purchases of securities by corporate credit unions.

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CUNA, Leagues Urge CUs to Share Reg. Burden Costs for Updated Study

WASHINGTON – CUNA and the state leagues are seeking credit unions to participate in a relaunch of its regulatory burden study to provide 2017 data on the costs of regulations.

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Comments on Alternative Capital Proposal Due May 9

ALEXANDRIA, Va. – The NCUA Board is considering changes to the existing secondary capital regulation and whether to authorize federally insured credit unions to issue supplemental capital instruments that would only count toward a credit union’s risk-based net worth requirement. Comments on the advance notice of proposed rulemaking are due May 9.

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NCUA Issues Updated Guidance on Compliance Risk Indicators

ALEXANDRIA, Va. – NCUA has recently provided its examiners with guidance on the updated list of compliance risk indicators that are part of NCUA’s Risk-focused Examination Program. The updated list of indicators does not impose any new or higher supervisory expectations for credit unions.

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CFPB Sues Online Lenders Over Debt Collection

WASHINGTON – The CFPB has filed suit against four online lenders for allegedly collecting debts they were not legally owed. The CFPB said the action fell under the Dodd-Frank Act's prohibition against unfair, deceptive or abusive acts and practices (UDAAP) and that the companies violated the Truth in Lending Act. 

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NCUA, CDFI Fund to Host a Conference Call for Low-Income CUs Interested in Becoming a CDFI

ALEXANDRIA, VA – NCUA announced that it will hold a conference call on May 9 at 2 p.m. for credit unions that have questions about the Community Development Financial Institutions Fund (CDFI) certification application or process.

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CFPB Fines Servicemember Auto Lender $1.25M for Order Violation

WASHINGTON – The CFPB issued another fine against Security National Automotive Acceptance Company, an auto lender that specializes in loan made to servicemembers, requiring them to pay an additional $1.25 million for violating the bureau's 2015 consent order. 

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McWatters: CUs Have Until Next April 1 to Comply With Prepaids Rule

 NCUA Acting Chairman J. Mark McWatters told federally-insured credit unions in a letter that compliance with the CFPB's prepaid accounts rule will begin on April 1, 2018, in light of the bureau's recent delay of the rule's effective compliance date.

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Fraud Alert: Members Romanced Into Providing Login Credentials and Money

Romance and dating scams continue to victimize credit union members nationwide. Fraudsters ultimately convince them to provide account login credentials. These scammers then login to the account and use ACH debits or enroll for mobile remote deposit capture to deposit fraudulent checks. The members subsequently transfer the funds to the scammer before the ACH debits or checks are returned. Read the full alert here. 

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CFPB 'Snapshot' Report Reviews Student Loan Complaints

Student loan borrowers continue to complain about poor information from and sloppy practices by servicers, according to the CFPB's monthly consumer "snapshot" report issued recently. As of April 1, the bureau has handled about 44,400 student loan complaints from consumers. 

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Availability of Oral Disclosures Under the DoD's MLA Rule

The MLA requires a statement of the MAPR and a clear description of the covered borrower’s payment obligation to be provided to the covered borrower orally. Creditors may satisfy this requirement by providing the information to the covered borrow in person at a face-to-face meeting or through a toll-free telephone number. 

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Trade Associations Back Consumer Protections in PACE Loans

Twenty-eight trade associations lodged strong support for legislation that would bring financing for Property Assessed Clean Energy (PACE) loans under the same Truth in Lending Act consumer protections required of other mortgage products. The "Protecting Americans from Credit Entanglements Act of 2017" (S. 838/H.R. 1958) would require federal TILA-rooted requirements and considerations for PACE loans – including the CFPB's ability-to-repay and qualified mortgage rules, among other standards. PACE loans enable mortgage borrowers to finance environmentally friendly home upgrades, such as solar panels and energy efficient appliances.

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Court Denies CFPB Subpoena in For-Profit College Probe

The U.S. Court of Appeals for the District of Columbia Circuit on Friday upheld a lower court decision to deny the CFPB's attempt to subpoena information from the Accrediting Council for Independent Colleges and Schools, an organization that accredits for-profit colleges. The bureau's subpoena is the latest in a pattern of interest on the bureau's part in the for-profit college industry.

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Phase 2 of Same-Day ACH Coming Sept. 15

The second phase of same day automated clearing house (ACH) roll-out has a Sept. 15th effective date, and NACHA- The Electronic Payments Association has released a list of recommended action items to be performed before that date. All financial institutions must be prepared to receive same-day ACH debits by Sept. 15th, even if not originating them. NACHA emphasizes that “even those not planning to use same-day processing for ACH debits should take reasonable care to prevent unintentional same-day ACH debits." Other action items include:

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Supreme Court Hears Debt Collection Case

The Supreme Court heard arguments in a case brought under the Fair Debt Collection Practices Act that could, depending on how the court decides, affect financial institutions' debt collection activities. The case originated from a suit brought by auto loan borrowers against Santander Consumer USA. Its central question is whether Santander should be regulated as a debt collector after it purchased auto loan debts the borrowers had owed to CitiFinancial. 

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Comments on Alternative Capital Proposal Due May 9th

The NCUA Board is considering changes to the existing secondary capital regulation and whether to authorize federally insured credit unions to issue supplemental capital instruments that would only count toward a credit union’s risk-based net worth requirement. Comments on the advance notice of proposed rule-making are due May 9. 

Questions? Contact NJCUL's Vice President, Compliance & Regulatory Affairs, Nicola Foggie, at nfoggie@njcul.org. 

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CUNA TO PREPARE UPDATED STUDY ON REGULATORY BURDEN COST

WASHINGTON -- CUNA seeks to update its groundbreaking study on the costs of regulatory burden this year, and will begin reaching out to credit unions in the coming weeks, CUNA Chief Policy Officer Bill Hampel said Monday. CUNA’s study, conducted by Cornerstone Advisors, found that in 2014 alone, regulatory burden cost credit unions $7.2 billion.

“It’s been a few years, and the data isn’t exactly stale as these things go,” Hampel said. “It would be nice to check in and see what the numbers are, to see whether the cost has gone up.”

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Back 2 Basics: 5 Steps to Follow When You Receive a Garnishment Notice

1. Determine whether a “Right to Garnish Federal Benefits” is Attached - Prior to taking any other action related to a garnishment order, and no later than two business days after receiving the order, a credit union must review the order to determine if the United States or a State child support enforcement agency has attached or included a Notice of Right to Garnish Federal Benefits. If such a notice is attached or included with the garnishment order, then the credit union must

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CFPB Issues HMDA Proposal, Initial Analysis Favorable

The CFPB issued a proposal designed to facilitate compliance with the 2015 updates to the Home Mortgage Disclosure Act (HMDA) rule. Initial analysis suggests the changes will be favorable for credit unions, and CUNA will continue to examine the proposal for potential unintended consequences. The proposal would clarify information financial institutions are required to collect and report about mortgage lending. Specifically, it contains a number of clarifications, technical corrections and minor

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New CUNA Compliance Resource! HMDA Data Collection Flow Chart

As you know, in October 2015, the CFPB finalized amendments to the Home Mortgage Disclosure Act (“HMDA”). Among these were modifications to the government monitoring information (“GMI”) data collection requirements found in Appendix B to Reg C. In summary, Appendix B now contains very specific instructions on how a credit union must collect and report GMI about a HMDA reportable transaction. This includes procedures for both face-to-face as well as telephone, mail and online

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CUNA CompBlog: The IRS Issues New FATCA FAQs

The IRS has published a new list of FATCA related FAQs. Like previous FAQs, most will not apply to U.S. credit unions. The following is an example of a Q&A that some of you may be interested in: 

"Are U.S. Financial Institutions (USFIs) required to register under FATCA? If so, under what circumstances would a USFI register? Does it matter whether the USFI has a branch in an IGA jurisdiction?

A USFI is generally not required to register under FATCA, regardless of whether it maintains a foreign branch.  However, a USFI must register if the USFI chooses to become a Lead FI and/or a Sponsoring Entity, or if the USFI seeks to maintain QI status with respect to one or more of its foreign branches. Also, a USFI with a foreign branch that is a reporting Model 1 FFI must register (and identify each such branch when registering).

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NCUA Warns of Fake Check Scams

​Consumers Should Be Vigilant and Avoid Depositing Checks from Unknown Parties

ALEXANDRIA, Va. – Consumers should be on the lookout for fake check scams, the National Credit Union Administration warned after receiving numerous inquiries from consumers.

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NCUA Schedules Special Closed Board Meeting

ALEXANDRIA, Va. – The National Credit Union Administration Board has scheduled a special closed meeting for Wednesday, April 12, 2017, beginning at 1 p.m.

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InfoSight Highlight: FFIEC Cybersecurity Assessment Tool

The Assessment consists of two main components; the Inherent Risk Profile and the Cybersecurity Maturity. The Inherent Risk Profile helps the institution understand how their products and services contribute to the institution’s overall inherent risk and whether specific categories pose more risk than others. The Cybersecurity Maturity component contains assessment factors and individual declarative statements across five main domains to identify specific controls and practices. While management can determine the institution’s maturity level in each area, the Assessment is not designed to identify an overall cyber security maturity level.

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New NCUA Videos Show How to Run Effective Credit Union Board Meetings

ALEXANDRIA, Va. – Are your credit union’s board meetings as effective as they could be? The National Credit Union Administration today released its new video series, “Effective Board Meetings,” aimed at helping credit union directors make the best use of their meetings.

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CUNA CompBlog: CFPB Proposes Amendments to the Regulation B Data Collection Requirements

On March 24th, the Consumer Financial Protection Bureau ("CFPB") issued a proposed rule to amend the monitoring information data collection requirements found in Sections 1002.5 and 1002.13 of Regulation B ("ECOA"). The primary purpose of the proposal is to better align the data collection requirements of ECOA with the previously amended data collection requirements of Regulation C ("HMDA").  

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NCUA Letter to Credit Unions: Risk-Focused Examinations and Compliance Risk

NCUA developed a Supervisory Letter to provide examiners with guidance about the updated list of compliance risk indicators that are part of NCUA’s Risk-Focused Examination (RFE) Program. The updated list of indicators does not impose any new or higher supervisory expectations for credit unions. The updates to the indicators will take effect on March 31, 2017.

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Deadline Approaching for Kmart Suit Claims, Objections, Opt-Outs

PORTLAND, Ore. – Credit unions have until April 18 to file a claim, request to opt-out or object to the settlement reached between plaintiffs and Kmart in a data breach lawsuit.

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CUNA CompBlog: Got Cybersecurity? It's a Supervisory Priority!

When NCUA issued its list of supervisory priorities for 2017, it wasn't a surprise that cybersecurity was on the list as it's been a key priority for the last few years. No doubt you're familiar with the FFIEC's tool that is used as self-assessment to gauge the level of cybersecurity risk and the processes and procedures your credit union has in place to mitigate those risks.  Does your incident response plan cover all the bases (IT, Legal, Marketing and Communications areas) so that your credit union can weather the ugliness of a breach when it happens?

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Reminder: CUSO Registry Reaffirmation Must Be Completed by March 31​

Credit union service organizations have until March 31 to complete their annual reaffirmation with the NCUA’s CUSO Registry. CUSOs can complete this required process online through the registry at https://cusoregistry.ncua.gov. There is no fee to use the CUSO Registry or to complete the reaffirmation process.

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CUNA Compblog: Floor Rates for Variable-Rate Open-End Loans

MADISON, Wis. – CUNA’s compliance staff went back to basics in a recent CompBlog entry examining floor rates on variable-rate open-end loans. These rates are governed by the Credit Card Accountability and Disclosure (CARD) Act.

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Comments on Remittance Assessment Due May 23

WASHINGTON – The Consumer Financial Protection Bureau (CFPB) published its request for comment on its remittance rule in the Federal Register Friday, with comments due May 23. The bureau announced last week it will conduct an assessment on the rule, a rule CUNA has long believed harms consumers.

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Field-of-Membership Webinar and Questions and Answers Now Online

NCUA Plans to Issue Additional Guidance on New Rule in the Coming Months

ALEXANDRIA, Va. – Credit union stakeholders wanting more information about the National Credit Union Administration's new field-of-membership rule can now watch the agency’s Webinar online and review questions and answers from the event.

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Consumer Financial Protection Bureau Fines Experian $3 Million for Deceiving Consumers in Marketing Credit Scores

Credit Reporting Company Misstated How Credit Scores It Sold Were Used

WASHINGTON – The Consumer Financial Protection Bureau (CFPB) took action against Experian and its subsidiaries for deceiving consumers about the use of credit scores it sold to consumers. Experian claimed the credit scores it marketed and provided to consumers were used by lenders to make credit decisions. In fact, lenders did not use Experian’s scores to make those decisions. The CFPB ordered Experian to truthfully represent how its credit scores are used. Experian must also pay a civil penalty of $3 million. 

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Banking Agencies Issue Joint Report to Congress Under the Economic Growth and Regulatory Paperwork Reduction Act of 1996

WASHINGTON – Continuing their efforts to reduce regulatory burdens while ensuring the safety and soundness of the nation’s financial institutions, member agencies of the Federal Financial Institutions Examination Council (FFIEC) issued a joint report to Congress detailing their review of rules affecting financial institutions.

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February 2017 NCUA Board Meeting Video Available

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

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CUNA Seeks CU Consideration in Assessment of Remittance Rule

WASHINGTON – The Consumer Financial Protection Bureau (CFPB) announced Friday it is seeking comment on a bureau plan to assess its rule on international remittances. CUNA has long believed the rule, which took effect in October 2013, is overly broad, and feedback from member credit unions is that this rule has harmed consumers by forcing them out of this market.

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Treasury’s CDFI Fund in Danger of Being De-Funded

Last week the president’s budget FY2018 budget called for the funding of the Community Development Financial Institutions (CDFI) grant program to be cut altogether from the U.S. Department of the Treasury’s budget. Credit unions and other financial institutions can be certified CDFIs by the U.S. Treasury, if they meet certain requirements.

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CFPB Publishes CUNA-Backed Proposed Delay of Prepaid Rule

WASHINGTON – The Consumer Financial Protection Bureau published its proposed delay of its prepaid accounts rulemaking Wednesday in the Federal Register. The delay would shift the implementation date to April 1, 2018, from Oct. 1, 2017, a request CUNA made when commenting on the proposed prepaid rule in March 2015.

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Could a NCUA Refund Be Coming Your Way?

The NCUA Corporate Stabilization Fund has reached a multi-billion dollar surplus, and its plans to return it to credit unions are well underway. Learn the preliminary details of the returns—and the conditions that created a surplus—in the new CUNA Economic Update hosted by CUNA Chief Policy Officer Bill Hampel. 

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Settlement Proposed in Home Depot Data Breach Lawsuit

ATLANTA – A proposed settlement was submitted to the court for approval Wednesday which would conclude the data breach lawsuit brought against Home Depot stemming from a 2014 data breach. CUNA, state leagues, and a number of credit unions are among the plaintiffs.

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Guide to Preparing Short Form Disclosure for Prepaid Accounts Now Available

WASHINGTON – The Consumer Financial Protection Bureau has made a guide to preparing the short form disclosure for prepaid accounts available on its Web site.

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Extended Exam Cycle Updates From CUNA GAC

WASHINGTON – During one of the GAC breakout sessions, NCUA staff outlined where the agency is at regarding extending the examination cycle.

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Nussle Talks National Budget on CNBC

WASHINGTON – CUNA President/CEO Jim Nussle continued to spread the message he’s been sending to attendees at CUNA’s Governmental Affairs Conference all week: Use the power of your voice to make an impact.

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Comments on 'Fiduciary' Delay Due March 17

WASHINGTON – The Department of Labor (DOL) has proposed a 60-day delay of the agency’s fiduciary (“conflict of interest”) rule. The rule, which currently requires compliance by April 10, 2017, would impact anyone who provides investment advice or recommendations for a fee or other compensation with respect to ERISA-covered retirement plans or IRAs.

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McWatters Outlines Plan for 'Thoughtful Loosening' of Regulation

​NCUA Acting Chairman Discusses Possible Stabilization Fund Closure in 2017

WASHINGTON – In his first address since his designation as Acting NCUA Board Chairman, J. Mark McWatters informed credit unions they can anticipate a “thoughtful loosening” of regulations, a streamlined agency budget, and the possible closure of the Temporary Corporate Credit Union Stabilization Fund in 2017.

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Metsger Marks a 'Very Productive and Rewarding Nine Months' as Chairman

​“Cooperative Spirit,” Board Member says, “Truly Makes America Great”

WASHINGTON – Modernized rules and a more efficient and responsive agency have been part of a “very productive and rewarding” turn at the helm of the National Credit Union Administration, NCUA Board Member and former Chairman Rick Metsger said Tuesday.

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Reminder: First CDFI Certification Round Now Open

NCUA’s Streamlined Application Process Aims to Certify More Credit Unions

ALEXANDRIA, Va. – Federally insured low-income credit unions can now apply for certification as community development financial institutions through the streamlined application process developed by the National Credit Union Administration (NCUA) and the Community Development Financial Institutions Fund (CDFI).

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NCUA Seeks Comments on Alternative Capital

ALEXANDRIA, Va. – During its first meeting of 2017, the NCUA Board unanimously approved an advance notice of proposed rulemaking to solicit comments on alternative forms of capital federally insured credit unions might use to meet capital standards required by statute and regulation.

In addition, the Office of General Counsel briefed the Board on the inflation adjustments to civil monetary penalties, which are required by federal law.

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Cybersecurity, Bank Secrecy Act Among 2017 Supervisory Priorities

NCUA’s primary mission is to ensure the safety and soundness of America’s federally insured credit unions and preserve the National Credit Union Share Insurance Fund that protects members’ deposits. To accomplish this, the NCUA uses a risk-focused examination program that allocates agency resources to credit unions and areas exhibiting the greatest potential risk.

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McWatters Plans Full Reg. Review

ALEXANDRIA, Va. – In his first NCUA Report column as NCUA Acting Chairman, J. Mark McWatters says he plans a “full regulatory review” with the goal of “empowering credit union innovation while lifting unnecessary regulations and streamlining others.”

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The NCUA Report to be Published Quarterly, February 2017 Issue Now Available Online

ALEXANDRIA, Va. – The National Credit Union Administration’s NCUA Report newsletter is moving to a quarterly publication schedule, the agency announced Friday. The February 2017 issue is now available online. The next issues in 2017 will be available in May, August, and November.

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NCUA Board Action Bulletin: Board Extends 18 Percent Interest Rate Cap

ALEXANDRIA, Va. – The National Credit Union Administration Board held its second open meeting of 2017 at the agency’s headquarters Thursday and unanimously approved a staff recommendation to maintain the current 18% maximum loan interest rate for most loans made by federal credit unions until Sept. 10, 2018.

The Board also received a briefing from the Chief Financial Officer on the performance of the National Credit Union Share Insurance Fund, which ended 2016 with a net position of $12.7 billion.

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Corporate System Resolution Costs Show Continued Improvement

ALEXANDRIA, Va. – Updated questions and answers about the Corporate Resolution program costs and projected future Temporary Corporate Credit Union Stabilization Fund assessments are now available online, the National Credit Union Administration said Thursday.

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NCUSIF, Loan Interest Rate Ceiling on Today’s NCUA Agenda

ALEXANDRIA, Va. – It’s a brief agenda for today’s NCUA meeting, with just two items scheduled. The meeting will start at 10 a.m. (ET), with a link to the live video stream available shortly before at NCUA.gov.

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13 Steps to BSA Exam Preparation

Ensure your risk assessment is current, and check policies for completeness.

From willful violation to maintain an Anti-Money Laundering (AML) program to failure to conduct risk assessments, the growing number of Bank Secrecy Act (BSA) and AML enforcements can strike fear in the hearts of even the most compliant credit union.

As with any anxiety, though, the path to squelching that fear is paved with preparation.

Taking the following steps in the weeks and months prior to a BSA/AML exam will go a long way toward increasing staff—and examiner—confidence in your credit union’s compliance.

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CUNA CompBlog: What Is the Consumer Compliance Rating System?
By: Nancy DeGrandi

The Consumer Compliance Rating System (CCRS) is an interagency framework developed by FFIEC member agencies for evaluating an institution's ability to manage consumer compliance risk and to prevent harm to consumers. NCUA integrates the current rating system into its existing CAMEL structure.

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NCUSIF Report, Interest Rate Ceiling on NCUA’s Feb. 23 Agenda

It’s a light agenda for the NCUA’s Feb. 23 board meeting, with only two items listed. According to the bureau, the meeting will consist of a quarterly report on the National Credit Union Share Insurance Fund, and a continuation of the federal credit union loan interest rate ceiling.

The meeting is scheduled to begin at 10 a.m. (ET), and a link to a live video stream will be available on NCUA.gov approximately 15 minutes before the meeting’s start time. 

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CUNA Requests MLA Credit Card Guidance, Clarifications

CUNA continued its efforts for additional clarifications, including asking for credit card guidance, on the changes to the Military Lending Act with a letter sent Thursday. Many changes became effective last October, and credit card provisions are scheduled to take effect Oct. 3.

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Latest Data Breach Exposes More Than 335K Card Numbers

ATLANTA – Atlanta-based Arby’s restaurants have acknowledged a data breach involving a number of its corporate-owned locations, reports Krebs On Security. The breach is estimated to have occurred between Oct. 25, 2016, and Jan. 19.

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CUNA and NASCUS to Host Fourth Cybersecurity Event in June

WASHINGTON – The fourth consecutive Cybersecurity Symposium will be held by CUNA and the National Association of State Credit Union Supervisors June 5-6 in San Diego.

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First CDFI Certification Round Now Open

NCUA’s Streamlined Application Process Aims to Certify More Credit Unions

ALEXANDRIA, Va. – Federally insured low-income credit unions can now apply for certification as community development financial institutions through the streamlined application process developed by the National Credit Union Administration and the Community Development Financial Institutions Fund.

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DOL Fiduciary Delay will Benefit CUs and Consumers, CUNA Says

WASHINGTON – The Department of Labor (DOL) is expected to delay implementation of its fiduciary rule, and sent notice to the Office of Management and Budget Thursday in response to last week’s executive order from the Trump Administration. The proposal has not been published yet, but will likely delay the implementation of the rule for 180 days after the original effective date of April 10.

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Comments on Alternative Capital Due to NCUA May 9

ALEXANDRIA, Va. – The NCUA published its Advance Notice of Proposed Rulemaking (ANPR) on alternative capital in the Federal Register Wednesday, with comments due to the agency by May 9. NCUA approved the ANPR at its January meeting, and CUNA welcomed the move and urged stakeholders to share feedback with the agency.

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Compliance: Looking at Commercial Loans Under MBL Rule

With the NCUA’s new member business lending (MBL) rule in effect, credit unions need to ensure they are in compliance and fully understand all of the new requirements. A recent entry in CUNA’s CompBlog takes a closer look at the guidance published in December by the NCUA, which provides more detail and sheds some light on examiner expectations. 

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CFPB Structure is Not Working for Credit Unions, CUNA Writes

WASHINGTON – Changes to the Consumer Financial Protection Bureau (CFPB) structure represent a reasonable improvement to a flawed structure, not an attempt to undermine the bureau, CUNA wrote to Sen. Sherrod Brown (D-Ohio) Monday. CUNA’s letter points out that since the Dodd-Frank Act was first proposed as a bipartisan commission by Sen. Elizabeth Warren (D-Mass.) and the Obama Administration, CUNA has agreed that it is the appropriate structure for the bureau.

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CUNA Supports Delay of DOL’s Fiduciary Rule

WASHINGTON – President Donald Trump issued an executive order Friday directing the U.S. Department of Labor to stop its fiduciary rule implementation and review the regulation in its entirety. CUNA supports the goal of the rule to protect investors, but has concerns that regulatory burdens and complexity associated with this rule could make it more difficult for consumers of all means to receive support planning for their financial future from credit union service organizations and some credit unions.

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CFPB Issues Prepaid Account Rule Compliance Guide

WASHINGTON – The Consumer Financial Protection Bureau issued a small-entity compliance guide for its rule on prepaid accounts this week. The 158-page guide is intended to help financial institutions understand how the rule applies to their operations.

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January 2017 NCUA Board Meeting Video Available

ALEXANDRIA, Va. – The video recording of the Jan. 19, 2017, open meeting of the National Credit Union Administration Board is now available on the agency’s Web site.

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CUNA Reiterates MLA Concerns to DOD, Federal Regulators

WASHINGTON – CUNA and other financial services organizations met Wednesday with the Department of Defense (DOD) and other federal financial regulatory agencies to reiterate numerous concerns with the Military Lending Act (MLA). The DOD made changes to the MLA that became effective last year, changes that establish limitations on terms of consumer credit extended to servicemembers.

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CUNA: Flaws in TCPA Mirrored in Budget Act Implementation

MADISON, Wis. – Flaws present in the Federal Communications Commission’s (FCC) implementation of the Budget Act mirror the flaws of the agency’s July 2015 Telephone Consumer Protection Act (TCPA) order, CUNA wrote Wednesday. CUNA submitted comments on a petition for reconsideration for the August 2016 report and order implementing the Budget Act, which provides exemptions from the TCPA for debts owed to or guaranteed by the federal government.

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McWatters Names Vega as Chief of Staff

ALEXANDRIA, Va. – National Credit Union Administration Acting Chairman J. Mark McWatters has named Sarah Vega as his Chief of Staff.

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McWatters Named Acting NCUA Chairman

WASHINGTON – Today, President Donald Trump appointed J. Mark McWatters as Acting NCUA Chairman.

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CUNA to Raise TCPA Concerns to FCC in Petition Comment

WASHINGTON – CUNA will comment on a petition seeking clarifications on the Telephone Consumer Protection Act (TCPA) exemption for calls collecting debt owed to or guaranteed by the federal government, and will also address additional credit union concerns. The petition was filed by several organizations in December, requesting additional clarifications on the exemption.

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NCUA’s OSCUI Releases its January 2017 FOCUS eNewsletter

ALEXANDRIA, Va. – The NCUA’s Office of Small Credit Union Initiatives (OSCUI) recently released the latest edition of its Fundamentals of Credit Union Success (FOCUS) eNewsletter.

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Compliance: How Should CUs Respond to a Data Breach?

With cybersecurity a top priority in 2017 for the financial services industry, CUNA’s compliance staff explored what credit unions should do in the event of a data breach at the institution or its service provider in a recent CompBlog entry.

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NCUA Webinar to Cover SBA Loan Programs

​Discussion to​​ Include Agency’s Member Business Lending Rule

ALEXANDRIA, Va. – Credit unions interested in Small Business Administration loan programs can get valuable information from an upcoming National Credit Union Administration Webinar scheduled for Feb. 15.

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CUNA Urges Stakeholder Feedback for NCUA’s Alternative Capital ANPR

MADISON, Wis. – CUNA plans to work across the credit union industry to ensure the NCUA receives feedback on its alternative capital Advance Notice of Proposed Rulemaking (ANPR) put forth Thursday. The ANPR seeks information on a broad range of alternative capital topics.

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Learn About Recent Changes to HMDA Reporting and Prepaid Account Rules at an Upcoming NCUA Consumer Compliance Webinar

ALEXANDRIA, Va. – Credit unions can learn more about the new reporting requirements under the Home Mortgage Disclosure Act and recent rule changes for prepaid accounts during a Webinar hosted by the NCUA on Tuesday, Feb. 28 at 2 p.m.

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The NCUA Report: CDFI Certification Provides Pathways to Better Serving Members, Communities

ALEXANDRIA, Va. – The Community Development Financial Institutions Fund can be a critical funding source for credit unions operating in low- to moderate-income communities, helping to increase access to affordable financial services. Until recently, the process of becoming CDFI-certified could be time consuming and difficult. That’s no longer the case for certain credit unions.

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NCUA Top Supervisory Priorities for '17: Cybersecurity, BSA

ALEXANDRIA, Va. – NCUA outlined its supervisory priorities for 2017 in a letter sent to credit unions (17-CU-01). The letter is intended to assist credit unions in preparing for their next examination.

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Board, Management Responsibilities Under New MBL Rule

MADISON, Wis. – With NCUA’s new member business lending (MBL) rule now effective, CUNA’s compliance staff took a look at the rule’s new expectations for boards of directors and management in a recent CompBlog post. According to the rule, federally insured credit union boards of directors must approve the MBL policy, ensure the lending program is appropriately staffed and understand the nature of risk in the commercial loan portfolio.

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NCUA Webinar Will Cover New Field-of-Membership Rule

ALEXANDRIA, Va. – The National Credit Union Administration’s new field-of-membership rule takes effect Feb. 6, and you can get important information about the new rule in an agency Webinar scheduled for Wednesday, Feb. 1.

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December 2016 NCUA Board Meeting Video Available

ALEXANDRIA, Va. – The video recording of the Dec. 15, 2016, open meeting of the National Credit Union Administration Board is now available on the agency’s Web site.

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CUs Not ID'd in CFPB Debt Collection Survey

WASHINGTON – The Consumer Financial Protection Bureau (CFPB) released the results of its survey on debt collection Thursday, prior to its discussion on the same topic. The survey, which consisted of 53 questions about first- and third-party debt collection, does not specifically identify credit unions.

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CUNA-Backed Parity Bill w/ MBL Cap Relief Introduced

WASHINGTON – A bipartisan group of four representatives introduced a bill Tuesday that would grant credit unions and banks parity on certain types of residential loans. The Credit Union Residential Loan Parity Act (H.R. 389) was introduced by Reps. Ed Royce, (R-Calif.), Jared Huffman (D-Calif.), Don Young (R-Alaska) and Peter DeFazio (D-Ore.).

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CUSO Registry Reaffirmation Period Begins February 1

Register Now for Jan. 25 Webinar On How to Complete the Process

ALEXANDRIA, Va. – Credit union service organizations will have from February 1 to March 31 to complete their annual required reaffirmation with the National Credit Union Administration’s CUSO Registry, the agency announced.

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Compliance: Changes in NCUA Exam Procedures for 2017

ALEXANDRIA, Va. – The NCUA promised enhanced examination planning procedures and scheduling changes for 2017, and outlined those changes in a letter to credit unions (16-CU-12) sent in the final days of 2016. The extended examination cycle applies to federal credit unions and federally insured state-chartered credit unions that meet certain eligibility requirements.

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