Congress Condemns PPP Fintechs for Fraud and Mismanagement
An investigation highlights that four prominent fintech companies were nothing more than loan approval factories that lacked the resources and the acumen to detect fraud.
FTX: Down(fall) and (Fall)out
As the story of cryptocurrency exchange FTX continues to unfold, regulators point to the warning signs and regulators, investors and industry leaders reflect on what lessons can be learned.
Multiple NSF Fees for Re-Presented Transactions Pose Compliance Challenges
Fresh attention from financial regulators towards non-sufficient funds fees for re-presented transactions is pushing banks to eliminate or dramatically cut these NSF charges.
Fed Outlines Regulations for LIBOR Replacement in Contracts
Some contracts that rely on LIBOR need a replacement rate by the time LIBOR goes away next year, but are tough or impossible to modify. Fortunately, there’s a solution that requires little effort.
What Risks Do Banks Face Today?
The OCC’s latest Semiannual Risk Perspective is out, and it offers banking leaders plenty of food for thought about what’s waiting for them around the next corner.
Proposed CRA Regulations Recognize Lender Diversity
The first update to regulations implementing the Community Reinvestment Act in almost 20 years. Smaller lenders could see requirements tailored to their size, business model and local conditions.
Banking Regulators Take Stances on Unfair Discrimination
In the wake of the COVID-19 pandemic, consumer protection issues have risen as a key priority for federal banking regulators. And they’ve taken recent steps signaling a growing emphasis on addressing discrimination and abusive or deceptive practices.
Regulators Heighten Focus on Climate Change’s Financial Risks
The primary objective of financial regulatory authorities generally is to maintain the safety and soundness of banks and the financial system. How, then, do regulators incorporate climate change risks into their work?
Bank Merger Guidelines Are Being Actively Reviewed
Momentum is building at the federal level to reevaluate and modernize how bank mergers are evaluated by federal banking regulators. Competition and market power have emerged as key concerns.
Biden Administration Poised to Put Its Stamp on Banking Agencies
With the ushering in of a new year, the federal financial regulatory agencies have seen a flurry of appointments and resignations, further setting the stage for increased influence by the Biden administration with respect to financial regulation and policy.
Federal Regulators Adopt Proactive Stance Towards Stablecoins
Recent actions by the U.S. federal bank regulatory agencies create a decidedly proactive, risk-based approach with respect to the growth of cryptocurrency and other digital assets in the U.S. economy.
Fed Outlines Banks’ Best Practices for Fintech Partnerships
In September, the Federal Reserve issued a report outlining what community banks, fintechs and other stakeholders have told it about the ways banks and fintechs partner and the risks lenders face balancing customer needs with safety and soundness concerns.
U.S. Regulators Increasingly Training a Wary Eye on Cryptocurrency
International standard setting bodies are taking a similarly wary position with respect to cryptocurrency. Up to now, however, the United States has been slower to act with respect to cryptocurrency regulation.
Subordinated Debt Market for Community Banks Expands in 2021
The increased reliance on online banking has required banks to seek more technologically advanced innovations to keep pace – and the money to finance those investments.
New Regulator Signals Biden’s Emphasis on Housing Equality
Biden’s nominations for top roles at the CFPB and FHFA reflects President Joe Biden’s continuing effort to appoint diverse financial regulators with an eye toward firmer regulation and a commitment to economic equity and increased access.
U.S. and International Regulators Signal Increased Scrutiny of Cryptocurrency Market
Recent national and international developments have once again highlighted the risks and rewards inherent to financial technologies. And regulators are taking notice of developments in the cryptocurrency space.
Financial Regulators Want to Learn More About AI
Federal banking regulators are taking a closer look at artificial intelligence, largely driven by the financial industry’s expanding use of AI. The question is whether they will be able to successfully adapt to address AI’s potential shortcomings.
OCC Letter Sheds Light on Cryptocurrency Risk and Reward
The belief that consumers and investors would feel most comfortable having traditional financial institutions store, manage and process digital assets has caused those institutions to begin exploring and implementing cryptocurrency into their suite of product offerings.
Biden Administration Brings New Slate of Financial Regulators
President Joseph R. Biden’s inauguration will usher in a new slate of financial regulators in 2021 with nominate cabinet and financial regulatory agency picks that will likely emphasize a more vigorous investor and consumer protection regulatory posture and tougher enforcement.
2020: The Year Fintechs Gained Bank Charters
This past year brought significant developments in the realm of fintech corporate structure and regulatory oversight. An increasing number of fintechs either acquired existing banks or applied for de novo bank charters in 2020, taking different tacks to do so.
