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Federal Reserve Finalizes Rule Eliminating Exclusive Debit Card Networks for E-Commerce

On October 3, the Federal Reserve Board (Fed) finalized amendments to Regulation II, the implementing regulation for the Durbin Amendment, now requiring debit card issuers to provide at least two unaffiliated payment card...more

Bank CEOs Testify Before Congressional Committees on Financial Services

On September 21 and 22, chief executives from the nation’s seven largest banks faced questioning before Congress, marking the third time senior bank officers have testified before Congress in the last three years. Senators...more

Banking Regulations in a Crypto World - The Crypto Exchange Podcast [Audio]

In this episode of The Crypto Exchange, Troutman Pepper Consumer Financial Services Partner Ethan Ostroff welcomes James Stevens to examine recent crypto-related activities by banking regulators. Ethan and James discuss the...more

OCC Closely Watches as Banks and Fintech Partner

On September 6, Acting Comptroller of the Currency Michael Hsu warned that fintech and big techs partnerships and their forays into payment and lending could lead to increased risk for the banking industry. “My sense is that...more

9/14/2022  /  Banking Sector , Banks , FinTech , OCC , Popular

AOCI Losses: What the Big Hit to Banks' Bond Portfolios Means Going Forward

Banks with available-for-sale (AFS) securities have seen significant unrealized losses on their bond portfolios as interest rates have risen. While not an immediate cause for regulatory concern, the change in bond portfolios...more

FDIC Takes Action to Stop Cryptocurrency Companies from Making False or Misleading Representations About Deposit Insurance

On August 19, the Federal Deposit Insurance Corporation (FDIC) issued cease and desist letters to five cryptocurrency companies, demanding they refrain from making allegedly false and misleading statements about deposit...more

Under the Fed’s Tiered System, Requests for Master Account Access by Cryptocurrency Companies Will Be Subject to the Strictest...

On August 15, the Federal Reserve Board (Fed) issued final guidelines, outlining the tiered approach it will use when evaluating the growing requests from fintech firms and cryptocurrency companies for access to master...more

Consumer Protection and Safety and Soundness Perspective of Credit Union Regulation - The Consumer Finance Podcast [Audio]

Please join Consumer Financial Services Partner Chris Willis and his guests and colleagues James Stevens and Carlin McCrory as they discuss the consumer protection and safety and soundness sides of credit union regulation....more

Whose Crypto Is It, Anyway?

On July 18, the maxim “not your keys, not your coin” took on a whole new meaning for customers of the bankrupt cryptocurrency exchange Celsius Network LLC, which had filed Chapter 11 in the Bankruptcy Court for the Southern...more

FDIC Requires Notice of Crypto-Related Activities

On April 7, the Federal Deposit Insurance Corporation (FDIC) released a letter, requiring all FDIC-supervised institutions that intend to engage in, or that are currently engaged in, crypto-related activities to notify its...more

FDIC Makes Bank Merger Policy a Priority This Year

On February 7, Acting Chairman Martin J. Gruenberg announced the Federal Deposit Insurance Corporation's (FDIC) priorities for 2022, including undertaking a comprehensive review of the process of considering and evaluating...more

2/16/2022  /  Bank Merger Act , Banks , FDIC , Mergers

OCC Defeats AGs’ Challenge to “Valid When Made” Rule

On February 8, a Northern District of California judge ruled on cross motions for summary judgment filed by the states of California, Illinois, and New York (plaintiffs) and the Office of the Comptroller of the Currency and...more

Government Efforts to Address Cryptocurrencies Ramp Up as Federal Reserve Releases Report on Digital Currency

Several recent events highlight the expanding effort by the federal government to address the growing digital currency marketplace and the government’s role in it....more

CFPB Requests Public Input on Fees for Financial Products

On January 26, the Consumer Financial Protection Bureau (CFPB or Bureau) announced its request for the public to share its input on “exploitative junk fees charged by banks and financial companies” to form its rulemaking and...more

SoFi Gets OCC Approval to Acquire National Bank — But Must Stay Away From Crypto

On January 18, the Office of the Comptroller of the Currency (OCC) conditionally approved an application by Social Finance Inc. (SoFi) to acquire Golden Pacific Bank, National Association, so long as the new bank does "not...more

GLBA Safeguards Rule Amendments Become Effective — December 2022 Compliance Countdown for Key Provisions Begins

On January 10, the Federal Trade Commission’s final rule, amending the Standards for Safeguarding Customer Information (Safeguards Rule) under the Gramm-Leach-Bliley Act (GLBA), became effective. We wrote about the final rule...more

Stablecoins and Beyond: 2022 Digital Asset Legislation Landscape

Will 2022 be the year of comprehensive digital asset legislation in the U.S.?...more

CFPB Opens Inquiry Into Buy Now Pay Later

On December 16, the Consumer Financial Protection Bureau (CFPB) issued orders to five companies offering buy now, pay later (BNPL) products. BNPL programs are designed to allow consumers to purchase goods and to defer payment...more

Power Struggle at the FDIC Board Becomes Public

In a CFPB blog post from December 9, the CFPB stated that the FDIC Board of Directors (FDIC Board) had promulgated a request for information (RFI) regarding a review of the Bank Merger Act criteria for approving bank mergers...more

Freddie Mac Issues Bulletin Addressing Use of Cryptocurrency in Mortgage Qualification Process

On December 1, Freddie Mac issued Bulletin 2021-36 to update lenders on changes in loan eligibility requirements. While it is not unusual for Freddie Mac to issue such bulletins, this bulletin contained changes pertaining to...more

Think Fast: Banking Regulators Release Final Computer-Security Incident Notification Requirements

Introduction - On November 18, federal banking agencies issued the long-awaited final rule, establishing data security incident response notification requirements for “banking organizations” and “bank service providers”...more

OCC Proposes Rescission of June 2020 CRA Rulemaking and Releases FAQs

The Office of the Comptroller of the Currency (OCC) issued a proposal to rescind its June 2020 Community Reinvestment Act (CRA) rulemaking and replace it with previous rules jointly adopted by the OCC, the Federal Reserve...more

FTC Amends “Safeguards Rule” for Covered Financial Institutions

On October 27, the Federal Trade Commission (FTC) announced a final rule (Final Rule), amending the Standards for Safeguarding Customer Information (Safeguards Rule) under the Gramm-Leach-Bliley Act (GLBA) as it applies to...more

Consumer Groups and State AGs Push Regulators to Tighten Guidance on Bank Partnerships

On October 18, consumer advocate groups and 19 state attorneys general wrote comment letters, urging banking regulators to denounce “rent-a-bank” arrangements between financial institutions and fintechs or other third-party...more

CBA Requests Increased CFPB Supervision of Fintechs Via the Larger Participant Rule

The Consumer Bankers Association (CBA), a trade group of retail financial institutions, recently sent a letter to the Consumer Financial Protection Bureau (CFPB) director, requesting increased supervision of financial...more

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