The Consumer Financial Protection Bureau on Sept. 29 published a notice in the Federal Register pursuant to the Equal Credit Opportunity Act concerning the new Uniform Residential Loan Application and the collection of expanded Home Mortgage Disclosure Act information about ethnicity and race in 2017.
For the purpose of reporting HMDA data on applications that were received and final action taken during 2017, financial institutions should submit information concerning ethnicity and race using only the aggregate categories and codes in the filing instructions guide, even if applicants have self-identified using the expanded disaggregated categories. For applications received in 2017 upon which final action is taken on or after Jan. 1, 2018, institutions have the option to submit data concerning ethnicity and race using disaggregated categories if provided by the applicants instead of using the transition rule for those submissions.
This official approval was issued on Sept. 23. Entities may rely on part III of the bureau’s official approval beginning Jan. 1.
The Federal Financial Institutions Examination Council announced Sept. 29 the availability of 2015 data on mortgage lending transactions at 6,913 U.S. financial institutions covered by the Home Mortgage Disclosure Act.
Exam cycles could change for small credit unions in 2017
Well-managed, low-risk federal credit unions with assets of less than $1 billion could be eligible for an extended examination cycle beginning next year, under a plan being considered by the National Credit Union Administration.
The extended exam cycle is one of 10 recommendations proposed in a report by the agency’s Exam Flexibility Initiative working group, according to a NCUA news release. The NCUA board is scheduled to vote on the working group’s recommendations on Nov. 17.
According to the release, among the recommendations that would take effect Jan. 1 if the board approves include:
• Establish eligibility for an extended exam cycle for well-managed, lower risk federal credit unions;
• Continue enhanced examinations of small federal credit unions;
• Improve coordination of exams for federally insured, state-chartered credit unions; and
• Establish an NCUA and state supervisor joint working group.
NCUA could make other changes as of July 1, 2017, including improvements in examination planning and the issuance of a post-exam survey, according to the release.
More compliance news
Report focuses on money transfer complaints
The Consumer Financial Protection Bureau on Sept. 27 released its consumer complaint snapshot spotlighting common consumer complaints about money transfers. The report shows consumers continue to experience issues when attempting to resolve problems with disputed transactions. The report also highlights trends seen in complaints coming from Pennsylvania.
CFPB project encourages savings by prepaid card users
The Consumer Financial Protection Bureau on Sept. 29 announced the results of a Project Catalyst research project, which offered a small incentive to prepaid card users to put some of their money into a savings wallet to encourage them to save. Consumers in the pilot project demonstrated a willingness to use the savings feature, and consumers who continued to use the feature continued to save after the pilot ended. The research also found participants who were offered an incentive to open the savings wallet reported significantly less payday loan use than those who were not offered the incentive.
FATF issues report on Singapore’s AML activity
On Sept. 22, the Financial Action Task Force released its mutual evaluation report on Singapore’s anti-money laundering and counter-terrorist financing system.