Regulation

Regulatory News

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These announcements give prompt notice of amendments and proposed amendments to Federal Reserve regulations and policies, summarize them, and provide links to full information.

 
Date Title Category
April 30, 2015 Mortgage Appraisals

A new interagency final rule sets minimum requirements for state registration and supervision of companies that provide appraisal management services to lenders, underwriters, or other principals in the secondary mortgage markets. The rule takes effect 60 days after publication in the Federal Register, which is expected soon, and federally regulated appraisal management companies must comply no later than 12 months from the effective date. Non-federally regulated appraisal management companies in states that have not established their own regulatory structures within 36 months of the effective date will not be allowed to provide appraisal management services for federally related transactions.

 
April 16, 2015 Regulation D

Under new proposed amendments to Reg D, published today in the Federal Register, interest paid on excess balances would be calculated based on a daily rate, rather than a two-week average rate. The deadline for public comment is May 18, 2015.

 
April 9, 2015 Small Bank Holding Company Policy Statement

The new Policy Statement, which allows holding companies (both bank and savings-and-loan) with up to $1 billion in total consolidated assets to operate with higher levels of debt than normally permissible, takes effect May 15, 2015.

 
February 26, 2015 Financial Literacy

New guidance encourages federally insured depository institutions to develop youth savings programs.

 
February 20, 2015 Economic Growth and Regulatory Paperwork Reduction Act

As part of their decennial effort to identify outdated or unnecessary regulations, the federal bank regulatory agencies have requested comment on regulations related to banking operations, capital, and the Community Reinvestment Act. The deadline for public comments is May 14, 2015.

 
February 3, 2015 Small Bank Holding Company Policy Statement; Regulatory Capital

Final supervisory guidance, published today in the Federal Register, describes general expectations for the A new proposed rule, published today in the Federal Register, would expand the Policy Statement’s applicability. A new interim final rule would exclude smaller savings and loan holding companies from Regulation Q’s capital requirements if they meet certain standards described in the Policy Statement. Public comments on either rule are due March 5, 2015.

 
January 29, 2015 Student Loans

New interagency guidance provides principles financial institutions should consider when originating private student loans with graduated repayment terms.

 
Date Title Category
December 30, 2014 Regulatory Capital; Liquidity Coverage Ratio

A new interagency interim final rule, published today in the Federal Register, clarifies that regulatory treatment of certain financial instruments and transactions remains unaffected by foreign special resolution regimes or the ISDA’s Resolution Stay Protocol. The rule takes effect January 1, 2015, and applies to banking organizations other than state nonmbember banks. The deadline for public comments is March 3, 2015.

 
December 23, 2014 Regulation Z

The dollar amount used to determine whether a small loan is exempt from special appraisal requirements has increased from $25,000 to $25,500. The increase is based on recent changes in the Consumer Price Index for Urban Wage Earners and Clerical Workers.

 
December 19, 2014 Community Reinvestment Act

Based on the most recent annual adjustment to the asset-size thresholds that define “small” and “intermediate small” banks and thrifts, “small” now denotes total assets below $1.221 billion and “intermediate small” now denotes total assets below $1.221 billion but above $305 million.

 
December 18, 2014 Risk-based Capital

A new interagency proposed rule, published today in the Federal Register, would establish a methodology to identify whether a U.S. bank holding company is systemically important and therefore subject to a risk-based capital surcharge. The deadline for public comments is March 2, 2015.

 
December 18, 2014 Volcker Rule

Banking entities now have additional time to conform certain activities, namely, investments in and relationships with legacy covered funds, to Section 619 of the Dodd-Frank Act. They have until July 21, 2016 to conform those activities and an additional, final one-year extension of the deadline is likely to follow next year.

 
December 12, 2014 Regulatory Capital

A new proposed rule would clarify the application of the revised capital framework to depository institution holding companies with non-traditional capital structures. The deadline for public comments is February 28, 2015.

 
December 5, 2014 Payment System Risk

Changes to the posting rules for ACH and commercial check transactions, part of amendments to the Federal Reserve Policy on Payment System Risk (PSR Policy), take effect upon today’s publication in the Federal Register. Companion amendments to Regulation J take effect July 23, 2015.

 
December 3, 2014 Enhanced Prudential Standards

The Federal Reserve Board has invited comment on new proposed enhanced prudential standards, published today in the Federal Register, for the regulation and supervision of General Electric Capital Corporation, a nonbank financial company that the Financial Stability Oversight Council designated for Board supervision. The deadline for public comments is February 2, 2015.

 
November 14, 2014 Concentration Limits

A new final rule, published today in the Federal Register, implements section 622 of the Dodd-Frank Act and prohibits a financial company merger or acquisition if the resulting company’s liabilities would exceed 10 percent of the aggregate liabilities of all financial companies. The rule takes effect January 1, 2015.

 
November 13, 2014 Payment System Risk

Amendments to the Federal Reserve Policy on Payment System Risk (PSR Policy), published today in the Federal Register and designed to reflect prevailing international risk-management standards for financial market infrastructures, take effect December 31, 2014. Companion amendments to Regulation HH establish a common set of risk-management standards for systemically important financial market utilities. Those amendments also take effect December 31, 2014.

 
September 29, 2014 Liquidity Coverage Ratio

A new interagency final rule, published today in the Federal Register, requires large and internationally active banking organizations to hold assets easily and quickly convertible into enough cash to cover their projected net cash outflows during a 30-day stress period. Covered U.S. banking organizations must fully comply with the rule by January 1, 2017.

 
September 26, 2014 Risk-based Capital

A new interagency final rule, published today in the Federal Register, changes the supplementary leverage ratio in a way that should better capture a banking organization’s on- and off-balance-sheet exposures. “Advanced approaches” banking organizations must disclose their supplemental leverage ratios beginning January 1, 2015 and comply with the rule’s minimum supplementary leverage ratio requirement beginning January 1, 2018.

 
September 24, 2014 Margin Requirements

A proposed interagency rule, published today in the Federal Register, would establish margin requirements for swap dealers, major swap participants, security-based swap dealers, and major security-based swap participants. The deadline for public comment is November 24, 2014.

 
September 22, 2014 Regulations M and Z

New amendments to official interpretations and commentary, published today in the Federal Register, increase the exemption thresholds in Regulations M and Z for exempt consumer credit and lease transactions. Effective January 1, 2015, the regulations apply to consumer credit transactions and consumer leases of up to $54,600. The adjustments reflect the annual percentage increase in the consumer price index.

 
September 10, 2014 Community Reinvestment Act

Proposed new and revised interagency guidance, published today in the Federal Register, would clarify and supplement answers to questions about, among other things, retail banking services, innovation and responsiveness, and community development. The deadline for public comment is November 10, 2014.

 
August 22, 2014 Regulation AA

The Federal Reserve Board has proposed the repeal of Regulation AA, the rules addressing unfair or deceptive acts or practices. Regulation AA is based on the Federal Trade Commission Act, and the Dodd-Frank Act repealed that part of the FTC Act. The Board and other federal financial agencies have also published guidance explaining the federal supervisory and enforcement authority over unfair or deceptive acts or practices that persists despite the repeal. The deadline for public comment is in 60 days.

 
July 16, 2014 Risk-based Capital

A new final rule clarifies the types of guarantees eligible for treatment as regulatory capital under the advanced-approaches risk-based capital rule. The new rule takes effect October 1, 2014.

 
July 1, 2014 HELOCs

New final guidance, published today, encourages financial institutions to communicate with HELOC borrowers about end-of-draw periods and provides broad principles for managing related risk.

 
July 1, 2014 Regulations Y and YY

A new proposal, published today in the Federal Register, would modify the timing and scope of the rules governing capital plans and stress tests. The deadline for public comment is August 11, 2014.

 
June 19, 2014 Tax Allocation

New final guidance, published today in the Federal Register, instructs financial institutions to review and clarify their tax allocation agreements in order to minimize disputes between holding companies and their depository institutions over ownership of tax refunds.

 
June 4, 2014 Regulatory Review

The federal banking agencies are reviewing their regulations to identify ones that are outdated, unnecessary, or unduly burdensome. This first round of review focuses on Applications and Reporting, Powers and Activities, and International Operations. Three more rounds of review will take place over the next two years. The deadline for public comment on this round is September 2, 2014.

 
May 29, 2014 Truth in Savings

Effective 30 days from today, the Board of Governors is repealing its Regulation DD. The Consumer Financial Protection Bureau, which now has rulemaking authority for the Truth in Savings Act, has published its own interim final version of Regulation DD.

 
May 29, 2014 Gramm-Leach-Bliley

Effective 30 days from today, the Board of Governors is repealing its Regulation P. The Consumer Financial Protection Bureau, which now has rulemaking authority for the privacy-related provisions in the Gramm-Leach-Bliley Act, has published its own interim final version of Regulation P.

 
May 29, 2014 Identity Theft

An amendment to Regulation V, effective 30 days from today, clarifies that the regulation’s provisions requiring identity theft prevention programs apply only to creditors that regularly extend credit or obtain consumer reports in the ordinary course of their business.

 
May 15, 2014 Concentration Limits

A new proposed rule, published today in the Federal Register, would prohibit a financial company from combining with another company if the ratio of the resulting company's liabilities exceeds 10 percent of the aggregate consolidated liabilities of all financial companies. The proposal generally defines “liabilities” as the difference between a firm’s risk-weighted assets, as adjusted to reflect exposures deducted from regulatory capital, and its total regulatory capital. Firms not subject to consolidated risk-based capital rules would measure liabilities according to GAAP. The deadline for public comment is July 8.

 
May 1, 2014 Regulatory Capital

A final rule, published today in the Federal Register, sets a minimum supplementary leverage ratio for the very largest U.S. banking organizations. Effective January 1, 2018, bank holding companies covered by the rule will have to maintain a supplementary leverage ratio of at least 5 percent to avoid restrictions and their insured depository institutions will have to maintain a supplementary leverage ratio of at least 6 percent to be well capitalized according to the prompt corrective action framework. 

A proposed rule, published separately today in the Federal Register, revises the regulatory capital rule’s definition of “eligible guarantee.” The deadline for public comment is June 13.

 
March 24, 2014 Appraisal Management Companies

A new proposed rule would set registration and supervision requirements for appraisal management companies (AMCs), which act as intermediaries between appraisers and lenders. In states that don’t certify and license AMCs, the rule would bar AMCs from providing appraisal management services for real estate transactions involving federal regulated banking entities. Public comments are due in 60 days.

 
March 13, 2014 Stress Tests

Final supervisory guidance, published today in the Federal Register, describes general expectations for the stress tests the Dodd-Frank Act requires banks and holding companies to conduct on their own. The guidance applies to mid-sized banks and holding companies, those with between $10 billion and $50 billion in total assets.

 
January 6, 2014 Regulation A

A new proposed rule, published today in the Federal Register, implements the Dodd-Frank Act’s requirements for emergency lending by the Federal Reserve. The deadline for public comment is March 7, 2014.

 
Date Title Category
December 26, 2013 Regulation Z

A new final interagency rule, published today in the Federal Register, exempts some higher-priced mortgage loans from appraisal requirements established by the Dodd-Frank Act.

 
December 19, 2013 Income Tax

The federal banking regulators are seeking public comment on supplemental guidance designed to clarify how sections 23A and 23B apply to income tax allocation agreements involving holding companies and insured depository institutions. The deadline for public comment is January 21, 2014.

 
December 19, 2013 Dodd-Frank Act, Section 342

The federal financial regulatory agencies have extended the public comment deadline for their proposed policy statement on regulated institutions’ diversity policies and practices. The new deadline is February 7, 2014.

 
December 12, 2013 Regulation CC

A new proposed rule would subject electronic checks and electronic returned checks to Regulation CC’s check collection and return provisions, unless otherwise agreed by the sending and receiving banks. The deadline for public comment is May 2, 2014.

 
December 10, 2013 Volcker Rule

A new final joint rule implements section 619 of the Dodd-Frank Act, commonly known as the “Volcker Rule.” Covered banking organizations must comply with the Volcker Rule’s restrictions on investments and activities by July 21, 2015. This extends by one year the previous compliance deadline.

 
December 10, 2013 Regulation J

A new proposed rule, published today in the Federal Register, would allow Reserve Banks to require paying banks receiving presentment of checks from Reserve Banks to make proceeds of settlement available to Reserve Banks in as few as 30 minutes after receipt of the checks. The deadline for public comment is February 10, 2014.

 
December 6, 2013 Regulatory Capital

A new final rule aligns the Federal Reserve’s market risk capital rule with the Basel III capital framework, which the Board adopted earlier this year. A correction to that framework, also issued today, clarifies the criteria for subordinated debt instruments that may be counted as Tier 2 capital.

 
December 5, 2013 Service Providers

Through new guidance released today the Federal Reserve reminds financial institutions it supervises to exercise appropriate risk management when using service providers.

 
December 5, 2013 Financial Market Utilities

A new final rule sets the requirements Federal Reserve Banks must meet to provide services to financial market utilities that the Financial Stability Oversight Council has designated as systemically important.

 
December 4, 2013 Bank Secrecy Act

A new final rule from the Financial Crimes Enforcement Network and the Federal Reserve, published today in the Federal Register, amends regulations implementing the Bank Secrecy Act in order to maintain the Act’s coverage of funds transfers and transmittals of funds.

 
November 25, 2013 Regulatory Capital

A new final rule, published today in the Federal Register, increases the dollar thresholds for exempt consumer credit and lease transactions under Regulations Z and M.

 
November 19, 2013 Regulatory Capital

The federal bank regulatory agencies have released a new estimation tool to help community banks understand the potential effects of the recently revised regulatory capital framework on their capital ratios.

 
November 6, 2013 Priced Services

The new fee schedules for priced services, published today in the Federal Register, take effect January 2, 2014, and will be available at www.frbservices.org.

 
October 24, 2013 Liquidity Standards

A new proposed rule would require large banking and financial companies to hold minimum amounts of assets that can be converted easily and quickly into cash. U.S. firms would have to comply fully with this new liquidity standard by January 1, 2017. The deadline for public comments is January 31, 2014.

 
October 22, 2013 Fair Lending

New interagency guidance, released today, outlines general supervisory principles and expectations related to the Ability-to-Repay and Qualified Mortgage Standards Rule.

 
August 5, 2013 Stress Tests

New proposed guidance, published today in the Federal Register, describes supervisory expectations for annual stress tests conducted by financial companies with total consolidated assets between $10 billion and $50 billion. The deadline for public comment on the proposed guidance is September 25.

 
July 25, 2013 Student Loans

Financial institutions that offer programs for student borrowers struggling with repayment should provide those borrowers with clear, practical information explaining the basic options available, general eligibility criteria, the processes, and how to contact lenders or servicers.

 
July 10, 2013 Mortgage Appraisals

A new proposed joint rule would exempt certain higher-priced mortgage loans from recently finalized federal appraisal requirements. Comments from the public on all but the proposal’s Paperwork Reduction Act analysis are due September 9.

 
July 9, 2013 Large BHC Leverage Ratio

A new proposed joint rule would set additional leverage ratio requirements for the largest U.S. bank holding companies. The rule would take effect January 1, 2018. Comments from the public are due 60 days from the proposal's publication in the Federal Register.

 
July 5, 2013 Basel III

A final rule, approved by the Federal Reserve Board today, implements the Basel III regulatory capital reforms and includes some exemptions for community banks. The FDIC and OCC are expected to approve the rule by July 9.

 
June 5, 2013 "Swaps Push-out" Rule

A new rule, effective today, establishes new processes for uninsured U.S. branches and agencies of foreign banks and insured depository institutions that qualify as “swaps entities” under the Dodd-Frank Act. Dodd-Frank’s so-called “swaps push-out rule,” which bars swaps entities from discount window lending and deposit insurance, takes effect July 16. The rule is interim final, and the deadline for public comment is August 4.

 
April 18, 2013 Enhanced Supervision

A new proposal, published today in the Federal Register, would establish annual assessments on systemically important bank holding companies, savings and loan holding companies, and nonbank financial companies. These assessments are designed to cover the costs the Federal Reserve incurs supervising these entities. The deadline for comments is June 15.

 
April 5, 2013 Enhanced Supervision

A new final rule, published today in the Federal Register, defines how holding companies and nonbank financial companies qualify as “predominantly engaged in financial activities” or “significant.” These definitions will help determine which firms require enhanced prudential supervision by the Federal Reserve. The rule takes effect May 6.

 
April 5, 2013 Foreign Exchange

A new final rule, published today in the Federal Register, sets standards for banking organizations that are regulated by the Federal Reserve and conduct certain kinds of retail foreign exchange transactions. The rule takes effect May 13.

 
Date Title Category
October 12, 2012 Stress Tests

Final stress-testing rules, published today in the Federal Register, require the largest bank holding companies and their state member bank subsidiaries to conduct their own stress tests this fall and disclose those results next spring. Holding companies with total assets between $10 billion and $50 billion must conduct their first stress tests in the fall of 2013 and do not need to publicly disclose those first tests’ results.

 
October 2, 2012 Swap Entities

Federal agencies published notice today that they have reopened the comment period on a proposed rule to establish margin and capital requirements for swap dealers, major swap participants, security-based swap dealers, and major security-based swap participants. The reopened comment period will close November 26.

 
August 27, 2012 Stress Tests

The Federal Reserve is considering whether to delay the effective date of certain Dodd-Frank Act stress-testing requirements. The delay under consideration, which would apply to company-run stress tests at bank holding companies, state member banks, and savings and loan holding companies with between $10 billion and $50 billion in total consolidated assets, would help ensure that these companies have sufficient time to develop their stress-testing programs.

 
August 15, 2012 Truth in Lending

A new proposed interagency rule would amend the Truth in Lending Act and set new standards for appraisals related to “higher-risk loans,” those residential mortgage loans with APRs exceeding the average prime offer rate for comparable transactions. Comments on the proposal are due October 15, except for comments on the proposal’s Paperwork Reduction Act analysis, which are due 60 days from its forthcoming publication in the Federal Register.

 
August 8, 2012 Basel III

The Federal Reserve has extended the public comment period on the proposed interagency rule, designed to implement the Basel III regulatory capital reforms, until October 22.

 
August 2, 2012 Foreclosure Review

The Federal Reserve and OCC have extended the deadline by which borrowers can seek review of their mortgage foreclosures to December 31.

 
July 30, 2012 Regulation HH

A new final Federal Reserve rule establishes risk-management standards for financial market utilities (FMUs) the Financial Stability Oversight Council designates as systemically important. The rule also sets standards these designated FMUs must meet when they intend to make material changes to their rules, procedures, or operations. The rule takes effect September 14.

 
July 27, 2012 Regulation II

Under newly approved amendments to Reg. II, debit card issuers can receive fraud-prevention adjustments if they develop, implement, and maintain policies and procedures designed to reduce the occurrence and costs of fraudulent debit card transactions. The amended rule takes effect October 1.

 
July 12, 2012 Banking Applications

New supervisory guidance outlines a new optional process by which banking organizations can seek the Federal Reserve’s feedback on potential bank acquisitions or other proposals. This new pre-filing process is intended to help ease and shorten the formal application process for infrequent filers, like some community banks, or potential filers with novel proposals.

 
June 29, 2012 Riegle-Neal Act

The federal banking regulatory agencies have updated their host state loan-to-deposit ratios, which the agencies use to determine compliance with Section 109 of the Riegle-Neal Interstate Banking and Branching Efficiency Act of 1994.

 
June 21, 2012 Foreclosure Review

New guidance, released today, will help determine the compensation or other remedy borrowers will receive for financial injury identified during the Independent Foreclosure Review. Eligible borrowers may request a free review of their mortgage foreclosures through September 30.

 
June 21, 2012 Mortgage Servicing

The federal financial regulatory agencies have released new guidance to help ensure that mortgage servicers meet their obligations to military servicemembers who’ve received Permanent Change of Station orders.

 
June 7, 2012 Capital Rules

Three new proposed rules seek to establish an integrated regulatory capital framework. Public comments are due September 7.

 
June 7, 2012 Capital Rules

Changes to the market risk capital rule, which requires banking organizations with significant trading activities to adjust their capital requirements to account for market risk, are now final. The approved final rule takes effect January 1, 2013.

 
June 4, 2012 Securities Holding Companies

A new final rule, published today in the Federal Register and effective July 20, outlines the procedure by which an SHC, a nonbank company that owns at least one registered broker-dealer, can choose Federal Reserve supervision.

 
June 4, 2012 Supervisory Coordination

As part of an effort to minimize unnecessary regulatory burden, the federal financial prudential regulators and the Consumer Financial Protection Bureau have entered a Memorandum of Understanding to coordinate the supervision of insured depository institutions with greater than $10 billion in assets.

 
May 14, 2012 Stress Tests

A new statement from the Federal Reserve, FDIC, and OCC clarifies that stress-testing requirements for banking organizations with total consolidated assets of greater than $10 billion don’t apply to community banks. Community banks should have a sound risk management program, however, that allows them to analyze the potential effect of adverse outcomes.

 
April 12, 2012 Regulation D

A new final rule, published today in the Federal Register, simplifies the administration of reserve requirements. Two of the changes, the discontinuation of certain as-of adjustments and the elimination of the contractual clearing balance program, are effective July 12, 2012. Two others, the creation of a common two-week maintenance period and the replacement of carryover and routine penalty waivers with a penalty-free reserve balance range, are effective January 24, 2013.

 
April 12, 2012 Regulation J

A new final rule, published today in the Federal Register, eliminates references to as-of adjustments, clarifies the application of Regulation J to Fedwire funds transfers, and clarifies rules related to Reserve Bank handling of checks. These amendments take effect July 12, 2012.

 
April 10, 2012 Dodd-Frank Act

A new proposed amendment to Regulation Y, published today in the Federal Register, would clarify the definition of “financial activities,” one of the key criteria used to determine whether a company is subject to Title I of the Dodd-Frank Act. The deadline for public comment is May 25.

 
April 5, 2012 Other Real Estate Owned

As part of an orderly OREO disposition strategy, banking organizations may rent residential properties acquired in foreclosure and, to the extent those OREO properties meet the Community Reinvestment Act’s definition of “community development,” receive favorable CRA consideration for them.

 
March 30, 2012 Leveraged Finance

Proposed new guidance, published today in the Federal Register, would replace existing interagency guidance and focus on five main areas: risk-management frameworks; underwriting standards; valuation standards; pipeline management; and reporting and analytics. The deadline for public comment is June 8.

 
February 2, 2012 ALLL Guidance

New supervisory guidance on allowance for loan and lease losses (ALLL) estimation practices, out today, reminds regulated financial institutions to monitor all credit quality indicators relevant to credit portfolios, including loans and lines of credit secured by junior liens on one- to four-family residential properties.

 
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