The FDIC has issued its widely anticipated final rule resolving the uncertainty caused by the Second Circuit’s Madden v. Midland Funding decision. Madden held that a non-bank entity that purchased charged-off loans from a national bank could not charge the same rate of interest on the loans as the national bank was able to charge
FDIC
PLI to offer free one-hour June 30 briefing: Consumer Protection: What’s Happening at the FDIC, with Leonard Chanin and leaders of Ballard Spahr’s CFS Group
By Barbara S. Mishkin on
As the federal regulator with supervisory authority over (non-Federal Reserve member) state banks and savings associations, the FDIC continues to play an important role in the consumer protection arena. On June 30, 2020, at 3:00 p.m. ET, PLI will offer a one-hour briefing, “Consumer Protection: What’s Happening at the FDIC.” Leonard Chanin, Deputy to the…
OCC adopts final rule to resolve uncertainty created by Madden
By Jeremy T. Rosenblum on
On Brian Brooks’ first day as Acting Comptroller of the Currency, the OCC issued a final rule intended to resolve the legal uncertainty created by the Second Circuit’s decision in Madden v. Midland Funding. In that decision, the Second Circuit held that a nonbank that purchased charged-off loans from a national bank could not…
FDIC extends comment period on proposed rule for approval of ILC deposit insurance applications
By James Kim & Scott A. Coleman on
The FDIC has extended by 30 days the comment period on its proposed rule setting forth the conditions it would impose and the commitments it would require to approve a deposit insurance application from an industrial bank or industrial loan company (collectively, ILC) whose parent company is not subject to consolidated supervision by the Federal…
FDIC Requests Submission of 2019 D&I Self-Assessments through a New and Improved Application
By Dee Spagnuolo & Anu Susan Thomas on
On March 23, 2020, the FDIC’s Office of Minority and Women Inclusion (OMWI) announced that it will request 2019 diversity self-assessments from FDIC-regulated financial institutions. The FDIC regulates insured state banks that are not members of the Federal Reserve System and insured state thrifts. This year’s self-assessment application is presented on a new automated platform…
FDIC issues proposed rule for approval of ILC deposit insurance applications
By James Kim & Scott A. Coleman on
The FDIC has issued a proposed rule setting forth the conditions it would impose and the commitments it would require to approve a deposit insurance application from an industrial bank or industrial loan company (collectively, ILC) whose parent company is not subject to consolidated supervision by the Federal Reserve Board (FRB). The proposal is a…
OCC and FDIC extend comment period for proposed amendments to CRA rules
By Scott A. Coleman & John A. Kimble on
The OCC and FDIC announced yesterday that they have extended the 60-day comment period for their joint proposal to revise their regulations implementing the Community Reinvestment Act that was published in the Federal Register on January 8, 2020. As extended by 30 days, the comment period ends on April 8, 2020.
The California Reinvestment Coalition,…
This week’s podcast: The FDIC’s and OCC’s proposed CRA reform: what the agencies consider now in CRA evaluations and how that would change
By Barbara S. Mishkin on
We are joined by Diego Zuluaga, a Cato Institute policy analyst, for a discussion of the proposed changes. After reviewing the current regulatory framework, we examine the proposal’s new qualifying activities criteria and approach to “branchless banking” in determining assessment areas, respond to criticism of its approach to public projects, look at the small bank…
This week’s podcast: The OCC’s and FDIC’s proposals to undo the Madden decision: what they would and wouldn’t fix
By Barbara S. Mishkin on
In this podcast, we review Madden, its implications and the OCC’s reaction, and discuss the proposals to undo Madden, including the agencies’ troublesome comments, remaining problems and what the agencies can do to fix them.
Click here to listen to the podcast.
House Financial Services Committee announces January hearings on CRA, “rent-a-bank schemes,” mobile payments
By Barbara S. Mishkin on
The House Financial Services Committee has announced that it will hold the following hearings this month:
- On January 14, the Subcommittee on Consumer Protection and Financial Institutions will hold a hearing entitled, “The Community Reinvestment Act: Reviewing Who Wins and Who Loses with Comptroller Otting’s Proposal.” (On January 29, from 12 p.m. to 1 p.m.
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