FDIC Aims to Help Community Banks Manage Regulatory Responsibilities July 30, 2014
The FDIC yesterday released a publication that focuses on tools and information available from the FDIC to assist community banks in managing their regulatory responsibilities. The article, entitled “Alternatives to Consultants: Meeting Regulatory Expectations with Internal Resources,” describes how maintaining dialogue with FDIC staff to clarify expectations may help institutions by lessening the need for outside consulting services.
"As the primary federal regulator for the vast majority of community banks, the FDIC understands the resource challenges these institutions may face," stated Doreen R. Eberley, Director, Division of Risk Management Supervision. "The FDIC believes the institutions we supervise often can use internal resources to maintain an effective and sound risk management framework."
HFSC Approves ABA-Backed Bills July 30, 2014
The House Financial Services Committee this morning approved H.R. 4042 by a vote of 44-9 and H.R. 5148 by a vote of 31-23. The Committee approved H.R. 3240 yesterday by voice vote.
H.R. 4042 would delay the implementation of the Basel III rules on MSAs until a study can be completed and better alternatives explored. H.R. 5148 would ease standards applied to some mortgages of $250,000 or less, and H.R. 3240 would direct GAO to study the impact of the Fed’s reserve requirements implemented through Reg D on depository institutions and consumers.
Read ABA’s memo.
ABA Offers Packet for August Recess Advocacy July 28, 2014
Congress goes into a month-long recess next week and our members will return to Arkansas to meet with constituents. Bankers are encouraged to set up appointments now if they have not done so already. With so many unresolved issues in Congress there is no better time to discuss these issues with your members than when they are back in Arkansas during the month of August.
AmBA is providing a free, online packet of resources to help bankers focus conversations with their lawmakers. The packet includes talking points and issue backgrounders on cybersecurity, reg relief, mortgage servicing assets, credit unions, the Farm Credit System, and other issues that affect bankers’ ability to do business.
Whether you’re able to visit your member of Congress in your bank, with other bankers during a town hall meeting, or somewhere else in the community you serve, make a point to meet with them this August. Tell them how your customers, their constituents, are being effected by the overly restrictive regulations.
Our August Recess Resources, available now on our website and Amplify, will provide the talking points and leave-behinds you need for a successful visit. Visit Amplify to download the materials. Amplify is available to all bankers, but does require registration.
Also available on our website is the new infographic AmBA has released documenting the enormous cumulative weight of new and existing regulations on community banks. Bankers can use the infographic in conversations with and emails to members of Congress -- as well as in tweets or posts to their websites, Facebook pages, or LinkedIn pages -- as an illustration of the impact of regulation on banks, their customers, and the communities they serve.
House Panel to Vote on ABA-Backed Bills Tomorrow July 28, 2014
Tomorrow at 10 a.m., the House Financial Services Committee will vote on several ABA-backed bills, including H.R. 4042, which would delay the implementation of Basel III rules affecting mortgage servicing assets until a full study of their effects is undertaken.
ABA also supports H.R. 5148, which would exempt some lower-cost mortgages from Truth in Lending Act appraisal requirements, and H.R. 3913, which would require a cost-benefit analysis of new regulations.
On Thursday at 10 a.m., the Senate Banking Committee will discuss financial products for college students. That afternoon, it will examine the forthcoming Government Accountability Office report on too-big-to-fail.
Meanwhile, the House committee will hold a Consumer Financial Protection Bureau oversight hearing on Wednesday at 10 a.m. Also on Wednesday at 10 a.m., a Senate subcommittee will examine the flood insurance claims process.
Plagge Speaks at White House about Rural Investment July, 24, 2014
ABA Chairman Jeff Plagge spoke at a White House conference yesterday about banks and their influence on driving the rural economy. Plagge emphasized banks’ role in raising capital for infrastructure, schools, roads and industrial parks.
“Bankers are part of the intellectual capital of rural communities, part of the leadership in every community we serve -- the feet on the ground, so to speak,” Plagge said. “It is critical that all federal or state policymakers acknowledge that and engage those bankers with any existing and new programs affecting rural America.”
SEC Approves Floating Nav, Fees, Restrictions for MMFS July 24, 2014
The Securities and Exchange Commission yesterday approved a plan to increase regulation of money market mutual funds, a plan which ABA has opposed, arguing that enhanced disclosures alone would be sufficient to protect MMFs and that the new rules will limit the usefulness of the funds.
“We’re disappointed that the final rule gives insufficient weight to the need for liquidity and stability of principal that drives this market,” said ABA VP Cris Naser. “Bank fiduciaries and corporate trustees have long invested client assets in money market mutual funds. Unfortunately, legal, regulatory or contractual considerations may now limit their ability to do so.
Read the final rule.
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