Compliance Watch

Yesterday, the U.S. House passed H.R. 2543, the Expanding Financial Access for Underserved Communities Act, as part of a larger financial services bill.

Texas Credit Union Department Commissioner John Kolhoff has announced his resignation, effective July 15, 2022. The Credit Union Commission will promptly begin a search for his replacement.

Question: Under Reg E, if a member is persuaded to initiate a transaction (on his/her own) that the member later learns to be fraudulent, is that considered and unauthorized transaction we would have to credit the member for? Answer: No. Regulation E and recent interpretations from the CFPB reaffirm that if a member initiates a transaction using that member’s own credentials, the transaction is not considered unauthorized.

“Learn about the importance of Juneteenth (6/19), and how you can celebrate this weekend, HERE!”

A recent RISK Alert from CUNA Mutual Group discusses scams involving the redemption of U.S. Savings Bonds and includes information about validating bonds presented for cashing.

The Consumer Financial Protection Bureau is seeking comments from the public related to relationship banking and how consumers can assert the right to obtain timely responses to requests for information about their accounts from banks and credit unions with more than $10 billion in assets, as well as from their affiliates.

This past Wednesday, June 15 was World Elder Abuse Awareness Day. FinCEN has issued Advisory FIN-2022-A002 on Elder Financial Exploitation (EFE), which involves the illegal or improper use of an older adult’s funds, property, or assets and is often perpetrated either through theft or scams.

The CFPB recently announced it has published a “Beginner’s Guide to Accessing and Using Home Mortgage Disclosure Act Data,” a 30-page resource for those interested in using these comprehensive data on the U.S. mortgage market.

Senate Banking, Housing, and Urban Affairs Committee Chairman Sherrod Brown (D-OH) has written to Treasury Secretary Janet Yellen, who oversees the Financial Stability Oversight Council (FSOC), to express concern with the collection and sale of consumer financial data practices.

Question: If a member is tricked into providing debit card information to a 3rd party who then uses it to purchase items, can we deny the claim under Reg E, since the member willingly provided the access information?  Answer: No. To cite the CFPB’s December 2021 guidance...