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Gearing Up for Climate Disclosure

Environmental, social, and governance (ESG) matters have become a focal point for investors and regulators. For financial institutions, and other companies, climate risk has become a key component, and an increasingly...more

CFPB Sets June 2022 Compliance Date for Payday Rule

Nearly four years after the Consumer Financial Protection Bureau (CFPB) issued its final November 2017 "Payday, Vehicle Title, and Certain High-Cost Installment Loans" Rule (Payday Rule), we at long last have a compliance...more

Agencies Issue Guide to Help Community Banks Evaluate Fintech Relationships

On August 27, the Board of Governors of the Federal Reserve, the Federal Deposit Insurance Corporation, and the Office of the Comptroller of the Currency (collectively, the “Agencies”) issued “Conducting Due Diligence on...more

FFIEC Guidance Emphasizes the Key Role of Risk Assessments in Supporting Strong Financial Institution Authentication and Access...

As our colleagues from the Consumer Financial Services Group reported on August 11, the Federal Financial Institutions Examination Council (FFIEC) issued guidance titled “Authentication and Access to Financial Institution...more

CFPB Issues Long-Awaited Notice of Proposed Rulemaking on Small Business Lending Data Collection

On September 1, the Consumer Financial Protection Bureau (CFPB) issued a 900+ page notice of proposed rulemaking (NPRM) to implement the small business lending data collection requirements under Section 1071 of the Dodd-Frank...more

Most De Novo Banks Will Be Formed by Payments and Fintech Companies

In the future, most de novo banks in the United States will be formed by existing payments and nonbank fintech companies that provide financial services, or groups of players in those industries that want to form a payments...more

The Federal Reserve, FDIC, and OCC Publish Proposed Interagency Guidance on Third-Party Relationships: Risk Management

The Board of Governors of the Federal Reserve System (Board), the Federal Deposit Insurance Corporation (FDIC), and the Department of the Treasury Office of the Comptroller of the Currency (OCC) have published proposed...more

7/30/2021  /  Banking Sector , Banks , FDIC , OCC

Warren Writes Letter to SEC on Authority to Regulate Crypto

On July 7, Senator Elizabeth Warren penned a letter to Chairman Gary Gensler of the U.S. Securities and Exchange Commission (SEC), requesting information on the SEC's authority to regulate cryptocurrency exchanges. Warren's...more

Congress Uses Congressional Review to Overturn OCC’s True Lender Rule

On June 24, the House of Representatives, like the Senate on May 11, voted to overturn the Office of the Comptroller of Currency’s (OCC) “True Lender Rule” that was finalized in October 2020. The Senate initiated the process...more

Q1 De Novo Bank Trends

There has been recent turmoil in the U.S. stock markets over the past few weeks as the country starts to take steps toward reopening as a result of the pandemic. However, financial institution stocks have been buoyed by...more

Key Takeaways for Regional and Community Banks from the Federal Reserve's April 2021 Supervision and Regulation Report

Twice a year — once in the spring and then again at the end of the year — the Board of Governors of the Federal Reserve System (Federal Reserve) publishes a report on banking conditions in the United States. Typically, the...more

Chime Financial Fintech Cannot Claim it is a Bank

The Department of Financial Protection and Innovation (DFPI) of California entered a settlement agreement with Chime Financial, Inc. (Chime), a neobank company that is not licensed to operate as a bank or otherwise exempt...more

Model Risk Management and Its Implications Under the Bank Secrecy Act

On April 9, the Board of Governors of the Federal Reserve System, the Federal Deposit Insurance Corporation, and the Office of the Comptroller of the Currency (collectively, the agencies), in consultation with the Financial...more

New Illinois Predatory Loan Prevention Act Leaves Lenders and Borrowers with Uncertain Future

Illinois Governor J.B. Pritzker signed the Illinois Predatory Loan Prevention Act (Act) into immediate effect on March 23. The Act imposes sweeping changes and contains broad language, leaving the state’s lenders and...more

Trend of Fintech Companies Seeking U.S. Banking Licenses Continues

The trend of fintech companies seeking or acquiring U.S. banking licenses continues to build momentum, furthering the convergence of fintech and banking. More fintech companies are applying and being approved for banking...more

3/30/2021  /  Banking Sector , Banks , FDIC , FinTech , OCC , Popular

Credit Union’s Marijuana-Related Compliance Failure is a Warning to Lenders

Live Life Federal Credit Union, a $69 million-asset credit union based in Fraser, Michigan, recently consented to a cease-and-desist order issued by the National Credit Union Administration Board (NCUA). The enforcement...more

SEC Division of Examinations Announces 2021 Examination Priorities

On March 3, the U.S. Securities and Exchange Commission’s (SEC) Division of Examinations (Division), formerly known as the Office of Compliance Inspections and Examinations, announced its examination priorities for fiscal...more

Mastercard to Provide Additional Transaction Detail

According to a recent announcement, Mastercard will begin providing customers with additional details about their purchases, such as the merchant’s name, logo, and location of purchase....more

The FDIC’s Rapid Phased Prototyping Competition

The growing role of technology in banking cannot be overstated. Financial technology is reshaping the retail banking industry in real time — changing the way banks receive deposits, lend money, and invest. At the same time, a...more

Considerations When Contemplating a Branch Consolidation and/or Closure Initiative

Prior to the COVID-19 pandemic, many combined factors pushed the banking industry toward consolidation, greater efficiency, and in many instances, smaller branch footprints. When COVID-19 forced banks to close branch lobbies...more

Regulatory Considerations in the Death of LIBOR — Recent Guidance Suggests a Partial Stay of Execution

Who Needs to Know - Lenders and borrowers involved in financing transactions, any companies using LIBOR swap or derivative transactions. ...more

OCC Finalizes Rule Requiring Large Banks to Provide Fair Access to Services, Capital, and Credit

In a final act of his tenure, Brian Brooks, the acting Comptroller of the Currency (OCC) on January 14 finalized a rule to ensure “fair access to banking services provided by large national banks, federal savings...more

Additional Relief Under the Paycheck Protection Program is on Its Way

On December 27, 2020, the President signed into law the Consolidated Appropriations Act, 2021, which included the Economic Aid to Hard-Hit Small Businesses, Non-profits, and Venues Act (the Act), the COVID-Related Tax Relief...more

De Novos During the Time of COVID-19 [Audio]

Troutman Pepper has produced a series of podcasts on legal and business issues faced by companies during the COVID-19 pandemic. This episode features Troutman Pepper Financial Institutions lawyers Zayne Tweed (moderator) and...more

FDIC’s Final Rule on Brokered Deposits Adds Clarity to Fintech Partnerships and Other Common Arrangements

On December 15, the Federal Deposit Insurance Corporation (FDIC) issued a final rule (Final Rule) establishing a new framework for analyzing whether bank deposits obtained through third-party arrangements are brokered...more

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