Compliance Watch

This year’s theme for International Credit Union Day is “Empower Your Financial Future with a Credit Union,” which will take place on Thursday, Oct. 20.

In May 2020, the U.S. Department of the Treasury’s Community Development Financial Institutions Fund (CDFI Fund) requested public comment on the application and reporting requirements for Certified Community Development Financial Institutions (CDFIs).

The Department of Justice and the Consumer Financial Protection Bureau issued a joint letter reminding auto finance companies of their responsibilities to recognize important legal protections for military families under the Servicemembers Civil Relief Act (SCRA).

Consumers and financial institutions are immensely curious about cryptocurrency and blockchain. And it’s no wonder—the topic is complex and often confusing, and few understand it fully.

Question: If a member runs an ATM at their business, does that make them a money transmitter? Answer: No. FinCEN addressed this matter in a 2007 opinion that if an owner-operator of an ATM only allows a person to access their account without the ability to send those funds to other persons, that owner-operator is not a money transmitter.

Have you heard? The InfoSight you know and love is being remastered.

The NCUA Board approved a proposed rule that would require a federally insured credit union (FICU) to notify the NCUA as soon as possible but no later than 72 hours after they reasonably believe that a reportable cyber incident has occurred.

CUNA wrote in support of a bill to modernize federal credit union board meeting requirements prior to its markup by the House Financial Services Committee.

The Consumer Financial Protection Bureau penalized Hyundai Capital America for repeatedly providing inaccurate information to nationwide credit reporting companies and failing to take proper measures to address inaccurate information once it was identified between 2016 and 2020.

Question: We have a member that says his divorce decree stipulated that a check for their tax refund is supposed to belong entirely to him. He can only endorse for himself, but can we accept for deposit with his signature and the divorce decree? Answer: No. Check law does not speak to situations such as this.