There were three noteworthy regulatory and compliance updates for banks and credit unions in January of 2024. Below are the details on these changes and how they affect you and your institution.
CFPB Proposes Rule to Stop New Junk Fees on Bank Accounts
The CFPB proposed to block banks and other financial institutions from one potential source of new junk fee revenue – fees on transactions declined right at the swipe, tap, or click. The proposed rule would prohibit non-sufficient funds fees on transactions that financial institutions decline in real-time. These types of transactions include declined debit card purchases and ATM withdrawals, as well as some declined peer-to-peer payments. The CFPB’s proposal is part of the agency’s proactive approach to protect consumers, and it would cover banks, credit unions, and certain peer-to-peer payment companies.
Register for our upcoming webinar Deposit Operation – First Quarter Update on January 30th to learn more.
Federal Reserve Releases Video on New CRA Rule and Objectives
This video released on January 10th provides an overview of the new CRA rule and its objectives. The video also addresses assessment areas, community development, evaluation framework, performance tests, ratings, data collection and reporting, and applicability dates.
Register for our on-demand webinar Overview of New CRA Rules to learn more.
FinCEN Issues Analysis of Identity-Related Suspicious Activity
FinCEN issues a Financial Trend Analysis on information linked to identity-related suspicious activity in BSA reports filed in 2021. FinCEN’s analysis found that approximately 1.6 million reports (42% of the reports filed that year) related to identity—indicating $212 billion in suspicious activity.
This report explores identity-related processes were exploited in processing transactions as well as opening and accessing accounts. Of over 14 typologies regularly indicated in BSA reports, the most frequently reported were fraud, false records, identity theft, third-party money laundering, and circumvention of verification standards. These accounted for 88% of identity-related BSA reports and 74% of the total identity-related suspicious activity amount reported during 2021.
Register for our on-demand webinar Suspicious Activity Report (SAR): Line-by-Line to learn more.
About the Author
Jeff Kelly
General Manager at OnCourse Learning
As General Manager at OnCourse Learning, Jeff leads the product management and learning development teams, along with solutions architecture and compliance functions. Jeff has worked in the financial services industry for 20 years and keeps up to date on financial industry changes and updates. Jeff obtained his Bachelor’s Degree in Marketing from the University of Wisconsin – Whitewater and his MBA from the University of Wisconsin – Milwaukee. He also served in the U.S. Marine Corps as a non-commissioned officer. His focus is building strong collaborative teams with passion for delivering excellence in outcomes for customers and employees.
About the Author
Jeff Kelly
General Manager at OnCourse Learning
As General Manager at OnCourse Learning, Jeff leads the product management and learning development teams, along with solutions architecture and compliance functions. Jeff has worked in the financial services industry for 20 years and keeps up to date on financial industry changes and updates. Jeff obtained his Bachelor’s Degree in Marketing from the University of Wisconsin – Whitewater and his MBA from the University of Wisconsin – Milwaukee. He also served in the U.S. Marine Corps as a non-commissioned officer. His focus is building strong collaborative teams with passion for delivering excellence in outcomes for customers and employees.