Compliance Watch

In a recent NCUA Letter to Federal Credit Unions, the NCUA announced a final rule amending the definition of “service facility” for multiple common-bond federal credit unions became effective December 27, 2021.

FinCEN and the OCC have issued enforcement orders against USAA Federal Savings Bank, Austin, Texas, for willful violations of the Bank Secrecy Act and its implementing regulations.

The Federal Trade Commission reported that it has obtained an order halting a credit repair scheme that allegedly bilked consumers out of millions of dollars by falsely claiming they will remove negative information from credit reports, while also filing fake identity theft reports to explain negative items on customers' credit reports.

Recently, SBA Administrator Isabella Casillas Guzman announced that the SBA will provide additional deferment of principal and interest payments for existing COVID Economic Injury Disaster Loan (EIDL) program borrowers for a total of 30 months of deferment from inception on all approved COVID EIDL loans.

Question: We have a member who has died and left their proceeds to a beneficiary. That beneficiary owes money to the credit union for charged-off loans and deposits accounts. Can we take that money? Answer: No. You may not. The remedies that permit you to “offset” do not allow you to seize funds from a deceased person’s account for this purpose.

If you’re all about attending this year’s Oklahoma Governmental Affairs Conference, April 12–13, this is your gentle reminder to reserve your hotel room in our block at the Renaissance Waterford Oklahoma City.

On March 11, the Texas Credit Union Commission met at the Texas Credit Union Department (TCUD) building in Austin. The following is a summary of the meeting.

Eat, dance, and be in compliance!

The existing CAMEL rating system is changing to CAMELS (Capital adequacy, Asset quality, Management, Earnings, Liquidity, and Sensitivity to market risk).

The Consumer Financial Protection Bureau has launched a new initiative to focus on financial issues facing rural America.