Consumer Financial Protection Bureau (CFPB)
CFPB Abusiveness Policy Statement Rescinded
The Consumer Financial Protection Bureau announced that it would rescinding its “Statement of Policy Regarding Prohibition on Abusive Acts or Practices”, a policy statement issued on January 24, 2020. In order to better protect consumers and the marketplace and to enforce the law as it was written by Congress, the CFPB intends to use its authority as supervisor and enforcer with the full scope of its authority, established by the Dodd-Frank Act.
The Office of the Comptroller of the Currency (OCC)
OCC and Other Agencies Seek Opinions on Use of Artificial Intelligence
The Office of the Comptroller of the Currency and four other federal regulatory agencies are looking for more information regarding the use of artificial intelligence (AI) by financial institutions. They are looking for information on the use of AI in activities such as fraud prevention, customer service personalization, credit underwriting, and other operations.
Federal Reserve Board
FRB Announces Restrictions on Bank Holding Company Dividends Ending for Most on June 30
The Federal Reserve Board announced that temporary and additional bank holding company dividend and share repurchase restrictions will end for most institutions on June 30, after stress tests are completed and depending on the institution’s capital levels. If capital levels are above what is required by the stress test, the firm will no longer be subject to the additional restrictions.
National Credit Union Administration
NCUA Board Extends CUSO Rule Comment Period
The NCUA Board unanimously approved a 30-day extension to the comment period regarding the proposed rule on credit union service organizations, Part 712. The rule would increase the number of permissible activities and services for CUSOs, including originating loans that a federal credit union may originate and granting the NCUA Board more flexibility approving permissible activities and services.
The Securities and Exchange Commission
SEC Amends and Seek Comment on Holding Foreign Companies Accountable Act
The Securities and Exchange Commission has implemented an interim final rule applying requirements mandated by congress regarding submission and disclosure requirements of the Holding Foreign Companies Accountable Act (HFCA Act). These amendments apply to those who register with the Commission and meet certain requirements.