Jul 28
Jul 28 CFPB and DOJ Files Complaint Against Trident for Discrimination Against Minority Families

On July 27, 2022, the CFPB and DOJ took action to end Trident Mortgage Company’s intentional discrimination against families living in majority-minority neighborhoods in the greater Philadelphia area. The CFPB and DOJ allege Trident redlined majority-minority neighborhoods through its marketing, sales, and hiring actions. If entered by the court, the settlement would require Trident to pay a $4 million civil penalty to the CFPB for victims’ relief fund.

Jul 28
Jul 28 CFPB Updates Debt Collection Rule FAQs

Adam Witmer

Regulatory Update

On July 27, 2022, the CFPB updated its Frequently Asked Questions pertaining to compliance with the Debt Collection Rule. Four new sections were added as follows:

Jul 28
Jul 28 FATF Updates Guidance for the Real Estate Sector

Adam Witmer

Regulatory Update

On July 26, 2022, the FATF updated its Risk-Based Approach Guidance for the Real Estate Sector which outlines the principles and benefits of adopting a risk-based approach to tackling money laundering and terrorist financing in the real estate sector. The revised guidance highlights the importance for the sector to increase its understanding of the money laundering and terrorist financing risks it faces.

Jul 27
Jul 27 Proposed Rule on Advertising Endorsements and Testimonials

Adam Witmer

Regulatory Update

On July 26, 2022, the FTC published a proposed rule and is seeking public comment on the proposed revisions to its Guides Concerning the Use of Endorsements and Testimonials in Advertising. The Guides are designed to assist businesses and others in conforming their endorsement and testimonial advertising practices to the requirements of section 5 of the FTC Act, also known as “Unfair or Deceptive Acts or Practices”.

Jul 26
Jul 26 OCC Solicits Research on FinTech Implications in Banking

Adam Witmer

Regulatory Update

On July 25, 2022, the OCC announced that it is soliciting academic-and policy-focused research on the impact of financial technology (fintech) entities and nonbanks on banking and the markets for lending, deposit-taking, and payment services through August 21, 2022. Submissions related to the impacts of competition and challenges for community banks are especially encouraged.

Jul 26
Jul 26 HUD Charges Homeowners Association With Disability Discrimination

Adam Witmer

Regulatory Update

On July 19, 2022, the HUD announced that it is charging Spring Creek Homeowners Association, the governing body of approximately 131 residential housing units in Jackson, Wyoming, with discriminating against two homeowners because of disability by imposing restrictions on their assistance animals and retaliating against them for filing a Fair Housing Act complaint.

Jul 25
Jul 25 NCUA’s Proposed Rule on Cyber Incident Reporting

Adam Witmer

Regulatory Update

On July 21, 2022, the NCUA announced during its seventh open meeting of 2022 that it is issuing a notice of proposed rulemaking on cyber incident notification requirements. The proposed rule would require a federally insured credit union (FICU) to notify the NCUA as soon as possible but no later than 72 hours after they reasonably believe that a reportable cyber incident has occurred.

Jul 25
Jul 25 Federal Reserve Board’s Proposed Rule on LIBOR Act

Adam Witmer

Regulatory Update

On July 19, 2022, the Federal Reserve Board invited comment on a proposal that provides default rules for certain contracts that use the LIBOR reference rate, which will be discontinued in 2023. The proposal implements the Adjustable Interest Rate (LIBOR) Act, which Congress enacted earlier this year.

Jul 20
Jul 20 OFAC’s Settlement with AMEX for Violations of Kingpin sanctions

Adam Witmer

Regulatory Update, BSA

On July 15, 2022, the OFAC announced a settlement with American Express National Bank (Amex) to settle its potential civil liability for 214 apparent violations of OFAC’s Kingpin sanctions. Amex agreed to remit $430,500, which reflects OFAC’s determination that the apparent violations were not voluntarily self-disclosed and were non-egregious.

Jul 19
Jul 19 FDIC Issues Updates on Brokered Deposits

Adam Witmer

Regulatory Update

On July 15, 2022, the FDIC issued a statement, adding a new Question and Answer (Q&A), and updating public information on the Banker Resource Center Brokered Deposits Page, to remind FDIC-insured depository institutions (IDIs) that deposits swept from broker dealers with a primary purpose exception to unaffiliated IDIs must be reported as brokered if there are any additional third parties involved that qualify as a deposit broker.