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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

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

Banking Regulatory Agencies Seek Information on Financial Institutions’ Use of Artificial Intelligence

Five federal banking regulatory agencies are gathering information and comments on financial institutions’ use of artificial intelligence (AI), including machine learning. On March 29, the Federal Reserve Board, the Consumer...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

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

OCC Proposes New Rule on Fair Access to Banking Services

On November 20, the Office of the Comptroller of Currency (OCC) proposed a rule aimed at ensuring fair access to bank services, capital, and credit. Citing pushes from across the political spectrum to “de-bank” industries...more

OCC Finalizes Bright-Line “True Lender” Rule

On October 27, the Office of the Comptroller of the Currency (OCC) issued its final rule on how to determine when a national bank or federal savings association (referred to collectively as a national bank) is the “true...more

10/29/2020  /  Banking Sector , FDIC , OCC , True Lender

CSBS Continues Streamlining for Payments Firms, Announces One Company, One Exam Program

On September 15, the Conference of State Bank Supervisors (CSBS) announced that money transmitters operating in 40 or more states will be able to take advantage of a new, comprehensive exam designed to satisfy all state money...more

Securitization Trust Defeats Efforts to Apply Madden

In the first case decided on the issue of whether Madden v. Midland Funding, LLC is applicable to a credit card securitization, the United States District Court for the Western District of New York, on September 21, 2020,...more

CSBS Continues Streamlining of Licensing for Payments Firms Through 'One Company, One Exam' Program

On September 15, the Conference of State Bank Supervisors (CSBS) announced that money transmitters operating in 40 or more states will be able to take advantage of a new, comprehensive exam designed to satisfy all state money...more

New York State Legislature Adopts Substantial Disclosure Requirements in Certain Commercial Finance Transactions, Including for...

On Thursday, July 23, 2020, the New York State Legislature voted to approve companion bills (S 5470/A 10118-A), commonly referred to as the “New York State Small Business Truth in Lending Act” (NY TILA). In passing the NY...more

OCC Gives Green Light To Chartering Fintechs As Special Purpose National Banks

The Office of the Comptroller of the Currency announced on July 31 that it will begin accepting applications for special purpose national bank charters from nondepository financial technology companies (fintechs) that are...more

Lifting of Longstanding OCC Consent Order May Signal Improved Environment for Bank Partnerships

On February 14, the Office of the Comptroller of the Currency (OCC) terminated a longstanding cease-and-desist order against payday lender ACE Cash Express, Inc. ...more

The CFPB Under New Leadership: What to Expect in 2018

Speculation about the future of the Consumer Financial Protection Bureau (CFPB) has been ever-present since Donald Trump’s victory in the 2016 Presidential election was first announced. Originally published in Delaware...more

CFPB to Reconsider Payday Loan Rule

On January 16, the CFPB announced plans to “reconsider” its newly minted regulation for Payday, Vehicle Title, and Certain High-Cost Installment Loans (the Payday Rule)....more

Recent Congressional Review Act Developments Could Have Far-Reaching Effects

On December 5, the Government Accountability Office (GAO) essentially invalidated the CFPB’s auto lending guidance by finding that it constitutes a “rule” for purposes of the Congressional Review Act (CRA)....more

CFPB Issues Long-Awaited Short-Term Lending Final Rule

On October 5, the CFPB issued it long-anticipated Payday, Vehicle Title, and Certain High-Cost Lending Rule covering certain short-term loans. The final regulation, published more than 15 months after it was proposed in June...more

Important Lessons for Mortgage Lenders in Delaware

In a recent opinion, the Supreme Court of Delaware held that a mortgage holder must be entitled to enforce the underlying obligation that secures the mortgage in order to foreclose on the mortgage. As a result of the court’s...more

Cordray's Departure Will Mean Big Changes at the CFPB

One of two scenarios will likely occur in the near future at the CFPB. Either Director Richard Cordray will be fired by President Trump (for cause), or Cordray will resign to enter the 2018 Ohio gubernatorial race. If either...more

CFPB Issues Final Arbitration Rule; Efforts to Nullify Are Underway

On July 10, the Consumer Financial Protection Bureau (CFPB) issued a final rule prohibiting a broad range of covered parties from including class action waivers in their pre-dispute arbitration agreements. The rule also...more

Conference of State Bank Commissioners Sues OCC to Bar Chartering of Fintech Banks

The CSBS’ request for an injunction may prompt the OCC to slow down or abandon its willingness to consider issuing national bank charters to fintech companies....more

D.C. Circuit Rebukes CFPB in Civil Investigative Demand Enforcement Decision

On April 21, the U.S. Court of Appeals for the District of Columbia Circuit issued an opinion in CFPB v. Accrediting Council for Independent Colleges & Schools, affirming a decision by the D.C. district court to deny...more

California Supreme Court Finds Arbitration Agreement Waiver of 'Public Right' Unenforceable

On April 6, the California Supreme Court issued a unanimous opinion in McGill v. Citibank, finding that a pre-dispute arbitration agreement was unenforceable to the extent it required the plaintiff to waive her right to seek...more

Cross River Bank Fights Back in True Lender Case, Suing Colorado Credit Code Administrator

As we reported in our earlier Client Alert, the Colorado Attorney General recently filed complaints in state court against Marlette Funding LLC and Avant of Colorado LLC on behalf of the administrator of Colorado’s Uniform...more

Colorado Attorney General Pursues 'True Lender' and 'Madden' Actions Against Major Non-Bank Online Lenders

On February 15, the Colorado Attorney General filed substantially similar, separate amended complaints in the U.S. District Court of Colorado against Marlette Funding LLC and Avant of Colorado LLC, alleging violations of...more

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