FDIC approves new rules related to failed banks

The Federal Deposit Insurance Corporation (FDIC) board approved new rules designed to simplify the process for making insurance determinations when a bank is placed into receivership. © Shutterstock “Timely access to insured deposits is critical to maintaining public confidence in the banking system and the FDIC’s ability to resolve these institutions,” FDIC Chairman Jelena McWilliams […]

The post FDIC approves new rules related to failed banks appeared first on Financial Regulation News.

The Federal Deposit Insurance Corporation (FDIC) board approved new rules designed to simplify the process for making insurance determinations when a bank is placed into receivership.

© Shutterstock

“Timely access to insured deposits is critical to maintaining public confidence in the banking system and the FDIC’s ability to resolve these institutions,” FDIC Chairman Jelena McWilliams said. “Under the final rule, the FDIC can provide depositors at large failed banks the same rapid access to their insured funds as it does in smaller resolutions.”

The amendments establish recordkeeping requirements to facilitate rapid payment of insured deposits to customers if a bank were to fail. They apply to the 32 FDIC-insured institutions that have more than two million deposit accounts.

The FDIC board also amended its rules and regulations to expand the types of evidence it would consider when determining whether joint accounts qualify for increased deposit insurance coverage. This impacts all banks, regardless of size. The FDIC will continue to look to signature cards when determining deposit insurance coverage on joint accounts, however, it may now also rely on other information contained in a bank’s deposit account records that establishes co-ownership of a joint account. This change does not expand or contract deposit insurance coverage for joint accounts, nor does it place any added burden on depositors or FDIC-insured institutions.

The post FDIC approves new rules related to failed banks appeared first on Financial Regulation News.

Read more / Original news source: https://financialregnews.com/fdic-approves-new-rules-related-to-failed-banks/

Measure seeks to halt government bailouts

Sens. Todd Young (R-IN), Pat Toomey (R-PA) and Tom Cotton (R-AR) introduced Monday a bill designed to ensure federal funds cannot be used to help state, territory or local governments pay off obligations. © Shutterstock The Government Bailout Prevention Act would result in no arm of the federal government, including the Federal Reserve System and […]

The post Measure seeks to halt government bailouts appeared first on Financial Regulation News.

Sens. Todd Young (R-IN), Pat Toomey (R-PA) and Tom Cotton (R-AR) introduced Monday a bill designed to ensure federal funds cannot be used to help state, territory or local governments pay off obligations.

© Shutterstock

The Government Bailout Prevention Act would result in no arm of the federal government, including the Federal Reserve System and the Treasury Department, paying or guaranteeing state and local obligations, if that state or local government entity has filed bankruptcy, has defaulted on its debts or is at risk of bankruptcy or default.

“Unfortunately, a number of state and local governments continue to spend more money than they bring in and are racking up dangerous levels of debt,” Young said. “It is unfair for Hoosiers to be expected to pay taxes to bail out this fiscal irresponsibility. These governments need to be on notice that they can’t continue down their fiscally risky path and expect federal taxpayers to pick up the check.”

Toomey said taxpayers should not bail out failing industries, businesses or banks.

“The same applies to state and local governments that overspend and mismanage their budgets into bankruptcy,” he said. “Now some in Washington are pushing for the Federal Reserve and other federal agencies to spend billions to clean up these mistakes, which is unfair. This legislation protects American taxpayers by ensuring their dollars aren’t used to bail out state and local governments.”

The post Measure seeks to halt government bailouts appeared first on Financial Regulation News.

Read more / Original news source: https://financialregnews.com/measure-seeks-to-halt-government-bailouts/

Consumer Financial Protection Bureau Releases Report on Third-Party Debt Collections

The Consumer Financial Protection Bureau
(Bureau) released a report today that found that more than one-in-four
consumers with a credit report have at least one debt in collection by third-party
debt collectors.

The Consumer Financial Protection Bureau (Bureau) released a report today that found that more than one-in-four consumers with a credit report have at least one debt in collection by third-party debt collectors.

Read more / Original news source: https://www.consumerfinance.gov/about-us/newsroom/bureau-releases-report-third-party-debt-collections/

Kathleen L. Kraninger's Speech at the Exchequer Club

Thank you for that introduction, and thanks for having me. I’m delighted to be here to spend time with such a distinguished group of experts and leaders in financial and economic policy.

Thank you for that introduction, and thanks for having me. I’m delighted to be here to spend time with such a distinguished group of experts and leaders in financial and economic policy.

Read more / Original news source: https://www.consumerfinance.gov/about-us/newsroom/kathleen-l-kraningers-speech-exchequer-club/

Federal Bank Regulatory Agencies Announce Coordination of Reviews for Certain Foreign Funds Under Volcker Rule

The Federal Reserve Board, the Federal Deposit Insurance Corporation, and the Office of the Comptroller of the Currency today announced that they will not take action related to restrictions under the Volcker Rule for certain foreign funds for an addit…

The Federal Reserve Board, the Federal Deposit Insurance Corporation, and the Office of the Comptroller of the Currency today announced that they will not take action related to restrictions under the Volcker Rule for certain foreign funds for an additional two years.

Read more / Original news source: https://www.occ.gov/news-issuances/news-releases/2019/nr-ia-2019-79.html

Federal bank regulatory agencies announce coordination of reviews for certain foreign funds under Volcker Rule

Federal bank regulatory agencies announce coordination of reviews for certain foreign funds under Volcker Rule

Federal bank regulatory agencies announce coordination of reviews for certain foreign funds under Volcker Rule

Read more / Original news source: https://www.federalreserve.gov/newsevents/pressreleases/bcreg20190717a.htm

CFTC concludes first part of Data Protection Initiative

A vital part of the Commodity Futures Trading Commission’s Data Protection Initiative has been completed, CFTC Commissioner Dawn Stump announced this week. © Shutterstock The initiative is designed to help the commission enhance its internal data protection measures. The first part of the project, called the “scope” exercise, involved updating the inventory of all the […]

The post CFTC concludes first part of Data Protection Initiative appeared first on Financial Regulation News.

A vital part of the Commodity Futures Trading Commission’s Data Protection Initiative has been completed, CFTC Commissioner Dawn Stump announced this week.

© Shutterstock

The initiative is designed to help the commission enhance its internal data protection measures. The first part of the project, called the “scope” exercise, involved updating the inventory of all the data inflows reported to the agency. This data catalogue includes the type of entity serving as the data submitter, category of data reported, primary CFTC data user, technology or interface by which it is collected, whether the collection is ad-hoc or recurring, and the frequency of submission.

“Cybersecurity is one of the most significant risks to the safety and soundness of the global financial system. The completion of an updated Data Catalogue is a key step in supporting the best data protection approach possible,” CFTC Chairman J. Christopher Giancarlo said. “I was pleased when Commissioner Stump identified this challenge early on in her time at the CFTC and the agency readily provided resources to augment her leadership on this issue. I wish her the best of luck as she continues on this path to minimize the agency’s cyber risk profile.”

This is the first of five parts of the Data Protection Initiative.

“We must identify the various use-cases of each data stream and consider the sensitivity of the data collection in light of the regulatory value. Then consideration should be given as to whether its collection should continue by comparing the sensitivity of information to its value to the Commission,” Stump said.

The post CFTC concludes first part of Data Protection Initiative appeared first on Financial Regulation News.

Read more / Original news source: https://financialregnews.com/cftc-concludes-first-part-of-data-protection-initiative/

SEC, NASAA release summary of opportunity zone compliance issues

A summary explaining federal and state securities laws relating opportunity zone investments was released by the Securities and Exchange Commission and the North American Securities Administrators Association (NASAA).© Shutterstock The opportunity zone program — established by the Tax Cuts and Jobs Act – was created to provide tax incentives for investing in economically distressed communities. […]

The post SEC, NASAA release summary of opportunity zone compliance issues appeared first on Financial Regulation News.

A summary explaining federal and state securities laws relating opportunity zone investments was released by the Securities and Exchange Commission and the North American Securities Administrators Association (NASAA).

© Shutterstock

The opportunity zone program — established by the Tax Cuts and Jobs Act – was created to provide tax incentives for investing in economically distressed communities. The summary will help participants understand the compliance implications.

“The opportunity zone program has the potential to encourage investment and economic development in many areas across the country that are in need of capital. The staff statement released today will help market participants understand securities laws implications when seeking to raise capital for opportunity zones,” SEC Chairman Jay Clayton said. “In addition, today the SEC is issuing staff guidance regarding the ability of Main Street investors to participate in these offerings.”

Specifically, the summary discusses when interests in qualified opportunity funds would be securities under federal and state securities laws. It also recaps SEC and state requirements for opportunity funds, including their securities offerings, broker-dealer registration, and considerations for advisers.

“This new program provides an opportunity to strengthen investments in low-income communities and rural areas that traditionally struggled to attract the capital necessary to spur economic growth and job creation,” Michael Pieciak, president of NASAA and Vermont’s commissioner of financial regulation, said. “This joint summary is a good example of state and federal regulators working collaboratively to address new compliance issues raised by an innovative program and thereby promoting our dual mission of protecting investors and helping facilitate capital formation.”

The post SEC, NASAA release summary of opportunity zone compliance issues appeared first on Financial Regulation News.

Read more / Original news source: https://financialregnews.com/sec-nasaa-release-summary-of-opportunity-zone-compliance-issues/

Consumer Financial Protection Bureau Recommends Financial Institutions Report Suspected Financial Exploitation of Older Adults

The Consumer Financial Protection Bureau (Bureau) today issued an updated advisory to financial institutions urging them to report to the appropriate local, state and federal authorities whenever they suspect that an older adult is the target or victim…

The Consumer Financial Protection Bureau (Bureau) today issued an updated advisory to financial institutions urging them to report to the appropriate local, state and federal authorities whenever they suspect that an older adult is the target or victim of financial exploitation. 

Read more / Original news source: https://www.consumerfinance.gov/about-us/newsroom/bureau-recommends-financial-institutions-report-suspected-financial-exploitation-older-adults/

Federal Reserve Board announces approval of application by Chemical Financial Corporation

Federal Reserve Board announces approval of application by Chemical Financial Corporation

Federal Reserve Board announces approval of application by Chemical Financial Corporation

Read more / Original news source: https://www.federalreserve.gov/newsevents/pressreleases/orders20190716a.htm