Banker's Compliance Consulting Blog http://www.bankerscompliance.com/blog-rss.htm en Banker's Compliance Consulting 2006 120BankersComplianceConsultingBloghttp://feedburner.google.com Reg D Changes Effective July 2nd http://feedproxy.google.com/~r/BankersComplianceConsultingBlog/~3/RsEfJgf7q24/reg-d-changes-effective-july-2nd.htm Just a friendly reminder that the Reg D changes took effect today, July 2nd.  These changes eliminate the 3 per month debit limitation (checks, point of sale, etc.) for Savings and Money Market accounts.  For more information, see our blogs entitled "Excess Debits - Not What It Used To Be" and "Excess Debit Changes - Additional Thoughts" from June 2, 2009.  We also discussed these changes in the July edition of our subscription newsletter, Banking on BCC.

 

]]> Thu, 02 Jul 2009 00:00:00 -0500 http://www.bankerscompliance.com/blog/reg-d-changes-effective-july-2nd.htm Amy Kudlacek http://www.bankerscompliance.com/blog/reg-d-changes-effective-july-2nd.htm July 3, 2009 - Business Day? http://feedproxy.google.com/~r/BankersComplianceConsultingBlog/~3/7vsviQcU-vM/july-3-2009-business-day.htm We have always taught banks not to count the days when the Post Office is closed for determining the right of rescission period.  Well, there's an exception to everything!  This Friday (July 3, 2009), most Post Offices will close at noon, as the government is allowing federal employees some extra time off, but it isn't an "official" federal holiday.  What does this mean to you?  Whether your institution is open on July 3rd or not, you should still count it as a business day for Right of Rescission purposes.

Here's a link to the Federal Holidays for this and the next several years:  http://www.federalreserve.gov/aboutthefed/k8.htm

 

 

]]> Wed, 01 Jul 2009 00:00:00 -0500 http://www.bankerscompliance.com/blog/july-3-2009-business-day.htm David Dickinson http://www.bankerscompliance.com/blog/july-3-2009-business-day.htm 90 Day SAR Narrations http://feedproxy.google.com/~r/BankersComplianceConsultingBlog/~3/43v77gcq1SM/90-day-sar-narrations.htm Just when you think you know everything you get stopped in your tracks!  I found that out recently when researching SARs.  As we all know, organizations should report continuing suspicious activity with a SAR being filed at least every 90 days.  Well, I recently discovered when filing a 90-day SAR that the date range and dollar amounts should be cumulative, encompassing the entire period of suspicious activity (not jus t the last 90 days).  This guidance can be found on page 32 of the April 2005 SAR Activity Review.  In the narration; however, you should indicate this is the 2nd (3rd, 4th, etc.) SAR filed on this person and the total of the activity in just the last 90 days.  This information can be very helpful to law enforcement agencies.  Just goes to show you never know it all.

Isn't compliance wonderful?

 

]]> Sun, 28 Jun 2009 00:00:00 -0500 http://www.bankerscompliance.com/blog/90-day-sar-narrations.htm Leigh Anne Hoatson http://www.bankerscompliance.com/blog/90-day-sar-narrations.htm Real Estate Matrix 7.1 http://feedproxy.google.com/~r/BankersComplianceConsultingBlog/~3/P0opuekeOJI/real-estate-matrix-7.1.htm Thanks to your comments, we have made some slight changes to our Real Estate Matrix.  Version 7.1 is now available on the free downloads page of our website.  The changes only affect paragraphs 4 and 5 on the back of the Matrix.

It is important to note that Version 7.1 should not be used until July 30, 2009.  However, we wanted to make this version available sooner so that you could utilize it for training purposes.

We appreciate all your comments and feedback.  It allows us to provide you with the best possible product.  Thanks again.

 

 

]]> Wed, 24 Jun 2009 00:00:00 -0500 http://www.bankerscompliance.com/blog/real-estate-matrix-7.1.htm Amy Kudlacek http://www.bankerscompliance.com/blog/real-estate-matrix-7.1.htm HMDA Getting It Right Updated http://feedproxy.google.com/~r/BankersComplianceConsultingBlog/~3/HR4T9kHtIX0/hmda-getting-it-right-updated.htm For those HMDA banks out there that may not have heard, the HMDA-Getting It Right manual was recently updated.  It appears that most of the changes are technical, for example, updating dates, page numbers, etc.  The only substantial change relates to the Truth in Lending-Higher Priced Mortgage Loan provisions that take effect on October 1, 2009.  Sections have been added to assist in how to determine and report this information.  You can review a listing of all the applicable changes and download a copy of the new manual at the FFIEC's website.

 

 

]]> Mon, 15 Jun 2009 00:00:00 -0500 http://www.bankerscompliance.com/blog/hmda-getting-it-right-updated.htm Amy Kudlacek http://www.bankerscompliance.com/blog/hmda-getting-it-right-updated.htm HOEPA Worksheet Version 2009-1 http://feedproxy.google.com/~r/BankersComplianceConsultingBlog/~3/cWAkuSRfgxU/hoepa-worksheet-version-2009-1.htm In an effort to better monitor changes to our HOEPA worksheet, we have added a version date and number to the worksheet (for example, "Version 2009-1").  We quite often make technical amendments and try to continually tweak the worksheet to make it better.  By having a version date and number, you can always be assured that you and your staff are using the most current version.  And, it helps us to keep straight any updates as well.

You can find HOEPA Worksheet Version 2009-1 on our downloads page.  We have made some slight corrections so we recommend that you pass this information on to anyone in your institution that uses this Worksheet.  This way they can download this most recent version.

Any future updates to the Worksheet will be annouced in our blog and newsletter.

 

 

]]> Tue, 09 Jun 2009 00:00:00 -0500 http://www.bankerscompliance.com/blog/hoepa-worksheet-version-2009-1.htm Amy Kudlacek http://www.bankerscompliance.com/blog/hoepa-worksheet-version-2009-1.htm Excess Debit Changes-Additional Thoughts http://feedproxy.google.com/~r/BankersComplianceConsultingBlog/~3/Za2hap2kQCI/excess-debit-changes-additional-thoughts.htm After running my blog yesterday, I had a few additional thoughts (I hate it when that happens) Smile.  First off, both your Truth in Savings Act disclosures and Electronic Funds Transfer disclosure require you to disclose any transaction limitations associated with your accounts.  That means if you want to take advantage of the new Regulation D changes, you must update your disclosures.  You need to ensure that you "do what you say and say what you do".

I am also anticipating that you will get some calls from vendors wanting to sell you customer notification documents.  Under both TISA and EFT, there is no advance notification requirement to make this change.  In fact, since the change is in the customer's favor, there is no notification requirement.  Basically, you can make the change and not say a word.  However, you may want to alert your customers purely for customer service reasons.

Also, don't forget to check with your core processing system.  If you have reports generated to help monitor excess debits, they may have to make some changes as well.  As mentioned before, this rule goes into effect July 2, 2009, which is not a lot of time.

 

 

]]> Wed, 31 Dec 1969 18:00:00 -0600 http://www.bankerscompliance.com/blog/excess-debit-changes-additional-thoughts.htm Amy Kudlacek http://www.bankerscompliance.com/blog/excess-debit-changes-additional-thoughts.htm Excess Debits - Not What It Used To Be http://feedproxy.google.com/~r/BankersComplianceConsultingBlog/~3/KU4OaIoGfAY/excess-debits-not-what-it-used-to-be.htm For those who have the responsibility of monitoring excess debits on savings and money market accounts, your job just got a little easier.  This comes as the FRB recently announced amendments to Regulation D.  Under the current provisions, certain types of withdrawals on savings and money market accounts are limited to six per month.  While only three of those six may be by check, draft, point-of-sale purchase, etc.

smileUnder the new provisions, which take effect, July 2, 2009, all restricted transactions will be subject to the six per month rule.  There will no longer be a separate limit for checks, drafts, point-of-sale purchases, etc.

You will still be required to ensure that no more than the permitted number of withdrawals or transfers are made each month.  Thus, you should train applicable staff and update your procedures.  So take a moment to smile, it's not often that compliance gets easier!

 

 

]]> Tue, 02 Jun 2009 00:00:00 -0500 http://www.bankerscompliance.com/blog/excess-debits-not-what-it-used-to-be.htm Amy Kudlacek http://www.bankerscompliance.com/blog/excess-debits-not-what-it-used-to-be.htm OFAC Everything? http://feedproxy.google.com/~r/BankersComplianceConsultingBlog/~3/lLvbla8-8YQ/ofac-everything.htm We often hear from clients indicating examiners "recommend" or require a bank to review OFAC for check payees, noncustomer transactions, etc.  The examiners may be referring to page 142 of the BSA Exam Manual, where it states "Transactions such as funds transfers, letters of credit, and noncustomer transactions should be checked against OFAC lists prior to being executed."

So what is the point of doing an OFAC risk assessment if the examiner is going to come in and tell you to do an OFAC check on everything anyway?

Unless the examiner can find fault with your risk assessment, this shouldn't be an issue.  There is no regulatory requirement to check anything under OFAC and what you check is based solely on the bank's risk assessment.

Make sure you have completed an OFAC risk assessment and have designed procedures based on the results of the risk assessment.  If you bank has a low risk in this area, there is no reason to check every transaction.  If the examiners criticize your practices, you need to defend your position by stating "Based on our risk assessment . . . .."  If that doesn't end the issue, give us a call.

 

 

]]> Thu, 28 May 2009 00:00:00 -0500 http://www.bankerscompliance.com/blog/ofac-everything.htm David Dickinson http://www.bankerscompliance.com/blog/ofac-everything.htm Privacy Disclosure Changes? http://feedproxy.google.com/~r/BankersComplianceConsultingBlog/~3/er1EU3qhb4g/privacy-disclosure-changes.htm Back in March 2007, the regulators proposed changing the Privacy rules.  Of particular interest was the removal of the requirement to send out a Privacy notice every year for those banks that don't share.  I mean, come on, why do you need to tell me over and over that you don't share?  As a consumer, those go straight in the trash.  What a HUGE waste of money for bankers!  For those banks that do share information and offer an opt-out, I can see the logic - maybe I didn't opt-out at account opening or last year, but I want to this time.

The proposal also recommended changing the Privacy disclosure wording.  Apparently, it was too confusing for the average consumer to understand.  Bankers were being blamed for using complicated wording, yet it was the model language straight from the regulation.

The proposal period came and went and we didn't hear anything.  We projected the regulators were waiting for the FACT Act Affiliate Sharing rules to be finalized.  These rules strongly parallel the Privacy rules and it made sense to line these two requirements up.  However, the Affiliate Sharing rules became effective October 1, 2008, yet we heard nothing about the Privacy changes.  Hmmm.

In April 2009, the SEC announced they were reopening the comment period for a proposal for the model privacy form.  We don't know why, but apparently, some consumers are still having problems with the wording of the disclosure.  The banking regulators have not (at this time) announced a new proposal or comment period. 

At least we know they are still working on a reform to the Privacy disclosure, but it sure would be nice if they'd hurry before many banks needlessly send out disclosures stating "we still don't share".

 

 

]]> Thu, 21 May 2009 00:00:00 -0500 http://www.bankerscompliance.com/blog/privacy-disclosure-changes.htm David Dickinson http://www.bankerscompliance.com/blog/privacy-disclosure-changes.htm