Top Story Lending Related

• FRB Explains Antiterrorism Initiatives

  In testimony before a committee of Congress, Richard Spillenkothen, Director of the Federal Reserve's Division of Banking Supervision and Regulation, provided information about the Federal Reserve's work on implementing the USA Patriot Act. Spillenkothen noted that the Treasury Department recently proposed rules on the prohibition of correspondent accounts with shell banks; the recordkeeping requirements on foreign bank ownership and designation of agents for service of legal process for correspondent accounts; and the broker-dealer suspicious activity reporting requirements all reflect consultation with the Federal Reserve. In addition, Treasury is expected to issue additional proposed rules soon to set forth minimum standards for financial institutions to verify the identification of their customers and to require financial institutions to conduct due diligence to identify suspicious activities involving correspondent and private banking accounts. 1/31/02

• Fed Leaves Interest Rate Unchanged

  The FOMC decided to keep its target for the federal funds rate unchanged at 1-3/4 percent. FRB Press Release 1/31/02

• OTS Releases December Enforcement Statistics

  The OTS reported that it issued ten enforcement orders to five individuals and five institutions during the month of December, 2001. OTS also terminated three orders previously issued to two individuals and one institution. OTS 02-04 1/31/02

• OCC Issues Interim Rule Amending its Regulation Regarding the Capital Equivalency Deposits

  This interim rule revises certain requirements regarding CED deposit arrangements to increase flexibility for and reduce burden on certain Federal branches and agencies, based on a supervisory assessment of the risks presented by the particular institution. The OCC is issuing this rule on an interim basis effective January 30, 2002. 67FR4325 (text) 67FR4325 (pdf) 1/30/02

• FDIC Publishes an International Visitors Training Program

  In response to the many training requests from our foreign visitors and in order to make more efficient and uniform use of resources, the FDIC has developed a three-day International Visitors Training Program designed specifically for officials of foreign banking, deposit insurance and resolution authorities serving in mid-level management or above. 1/30/02

• Chairman Powell's Statement on FDIC Board Approval of Special Examination Activities

  The agreement establishes a better process for determining when the FDIC will use its authority to examine any insured institution.FDIC:PR-6-2002 1/30/02

• OCC Publishes the December 2001 Bank Accounting Advisory Series

  The Bank Accounting Advisory Series expresses the OCC's current views on accounting topics of interest to national banks. 1/28/02

• Regulators Issue Final Rule to Amend their Capital Requirements

  The new capital requirements, which will apply symmetrically to equity investments of banks and bank holding companies, impose a series of marginal capital charges on covered equity investments that increase with the level of a banking organization's overall exposure to equity investments relative to the organization's Tier 1 capital. 67FR3783 (text) 67FR3783 (pdf) FDIC:FIL-6-2002 1/25/02

• Department of the Treasury's Notice of Funds Availability Invites Applications for the First Accounts Program

  The FDIC Published FIL-5-2002 to announce that the NOFA invites insured depository institutions, and other eligible entities, to apply for grants to provide low-cost electronic, checking or other types of accounts to low- and moderate-income individuals who currently do not have an account with an insured depository institution or an insured credit union. FDIC:FIL-5-2002 1/25/02

• NCUA Chairman Dennis Dollar's Statement Regarding the President's Recess Appointment of JoAnn Johnson and Deborah Matz

  President George W. Bush announced that he has appointed JoAnn Johnson and Deborah Matz as Members of the National Credit Union Administration Board as recess appointments. NCUA Press Release 1/25/02

• Statement By NCUA Chairman Dennis Dollar

  NCUA Chairman Dennis Dollar released a statement regarding the National Community Reinvestment Coalition's legal actions concerning the Community Action Plan (CAP). NCUA Press Release 1/25/02

• FRB Approves Regulatory Changes to HMDA

  The changes to Regulation C will facilitate fair lending analysis and enhance understanding of the home mortgage market generally and the subprime market in particular. FRB Press Release Proposed amendments to Regulation C based on a review of the regulationSupplemental recommendations regarding Regulation C. 1/24/02

• Identity Theft Is the Top Consumer Fraud Complaint

  The Federal Trade Commission has announced the Top 10 Consumer Fraud Complaints for 2001 and identity theft heads the list, with 42% of the 204,000 complaints entered into the FTC's Consumer Sentinel database last year. Number 5 on the list, with 5%, is "Advance Fee Loans and Credit Protection" fraud. Number 8 is "Foreign Money Offers". FTC has also released a list of tips to help consumers who want to protect themselves from fraud and deception. You may want to consider posting them in your institution or including them in a mailing to customers. 1/24/02

• Proposed National "Do Not Call" Registry

  The Federal Trade Commission is soliciting comments on a proposal to amend the Telemarketing Sales Rule (TSR) by, among other things, creating a national "do not call" registry. 1/23/02

• Considering The Unintended Audience

  The National Infrastructure Protection Committee (NIPC) has issued Advisory 02-001 to urge those putting content on the Internet to carefully consider the ramifications of information being accessed by an unintended audience and to encourage Internet content providers to review the data they make available online.1/23/02

• Obtaining EINs from IRS

  Taxpayers can now call a single toll-free telephone number (866)816-2065 to get an Employer Identification Number (EIN). IRS customer service representatives in three IRS Service Centers will respond to taxpayer calls Monday through Friday from 7:30 a.m.- 5:30 p.m. local time. Taxpayers also can fax requests for an EIN 24 hours a day/7 days a week by dialing the fax number at the location accepting applications from your state. The instructions on the revised Form SS-4 indicate which location will accept your faxed request. For detailed information on Employer Identification Numbers, the IRS has a special page on its Web site. 1/22/02

• FRB Issues Revisions to Bank Holding Company Supervision Procedures

  To further enhance its risk-focused supervision program, on January 1, 2002, the FRB implemented revised procedures for the supervision of bank holding companies1 with total consolidated assets of $5 billion or less. FRB:SR 02-01 1/22/02

• OCC and People's Bank of China Assess Money Penalties Against Bank of China

  The OCC and the People's Bank of China announced they have entered into separate actions against Bank of China and its U.S.-based federal branches for misconduct engaged in by prior management. OCC:NR 2002-07 Statement of Comptroller Hawke Statement of People's Bank Statement of Chairman Liu Consent Order1/22/02

• FDIC Approves the Assumption of the Insured Deposits of Bank of Sierra Blanca, Sierra Blanca, Texas

  The Board of Directors of the FDIC approved the assumption of the insured deposits of the Bank of Sierra Blanca, Sierra Blanca, Texas, by The Security State Bank of Pecos, Pecos, Texas. FDIC:PR-5-2002 1/22/02

• Change of Address for HMDA and CRA Data

  The OCC is informing all national banks, federal branches and agencies, and District of Columbia banks of the change of mailing address for CRA and HMDA data submissions, which are due March 1, 2002. OCC 2002-4 1/18/02

• OCC Releases Third Quarter Edition of Quarterly Journal

  The December 2001 issue of the Quarterly Journal, Vol. 20, No. 4 (for third quarter 2001), is now available on-line . This issue features the latest "Condition and Performance of Commercial Banks" and congressional testimony of the agency's executives, including the white paper attachment to Comptroller Hawke's testimony on "Reforming the Funding of Bank Supervision." 1/18/02

• Consumer Confidential: The Privacy Story

  The Federal Trade Commission has announced that February 3 - 9, 2002 has been designated National Consumer Protection Week ("NCPW") to highlight consumer protection and education efforts around the country. The subject of this year's NCPW is privacy. On the special site they've created for the NCPW, there are noncopyrighted materials freely available for you to use as part of your own NCPW campaign. No reprint permission is required. 1/18/02

• Fact Sheet on International ACH

  This month, Federal Reserve Financial Services has made available a Fact Sheet on its FedACH International ACH service. 1/18/02

• Borrower's Loan Number on Recorded Documents

  In case you missed it, there is an interagency opinion letter on the permissibility, under the GLB privacy regs, of putting a borrower's loan number on recorded mortgage documents. 1/18/02

• OCC Publishes Interpretive Letters

  OCC has now posted on its Web site the Interpretive Letters, CRA decisions, and conditional approvals it issued in December. The ILs are available in both Word and PDF format. 1/18/02

• OCC Releases CRA Evaluations For 28 National Banks

  The OCC released a list of Community Reinvestment Act (CRA) performance evaluations that became public during the period of December 15 through January 14, 2002. OCC:NR 2002-5 1/16/02

• OCC Announces 14 New Enforcement Actions

  The OCC announced 14 new enforcement actions taken against national banks and individuals currently and formerly affiliated with national banks. OCC:News Release 2002-6 1/16/02

• OCC Publishes Inter-Agency Examiner Guidance On Settlement Service Mark-Ups Under RESPA

  The Court of Appeals for the Seventh Circuit held that Section 8(b) of the Real Estate Settlement Procedures Act (RESPA) was not violated when a title company marked-up a fee of a third-party settlement servicer without performing any additional services. OCC 2002-3, Inter-Agency Guidance 1/16/02

• OCC Issues Guidance on ACH Transactions Involving the Internet

  This bulletin highlights the risks associated with automated clearing house (ACH) transactions that involve the use of the Internet and provides guidance for managing those risks. OCC 2002-2 1/15/02

• FDIC to Market Hamilton Bank, N.A., Assets

  The FDIC announced that it will market a $1 billion loan portfolio from the failed Hamilton Bank, N.A., Miami, Florida, within the next 60 days. FDIC:PR-4-2002 1/15/02

• Governor Laurence H. Meyer resigns from FRB

  Laurence H. Meyer submitted his resignation as a member of the Board of Governors of the Federal Reserve System, effective the last day of his term, January 31, 2002. FRB Press Release 1/15/02

• Hamilton Bank, N.A. Closed by the OCC and FDIC Appointed Receiver

  The OCC acted after finding that the bank, which had assets of $1.3 billion at the time of its closing, was undercapitalized and suffered from deteriorating asset quality, poor earnings, a high level of nonperforming loans and sharply declining capital levels. OCC:NR 2002- 04, FDIC:PR-3-2002 1/14/02

• FRB Makes Revisions to Bank Holding Company Supervision Procedures

  The FRB implemented revised procedures for the supervision of bank holding companies1 with total consolidated assets of $5 billion or less. FRB:SR 02-01 1/11/02

• OCC Proposes Interagency Bank Merger Act Application

  The OCC is soliciting comments on proposed revisions to the information collection titled: "‘Interagency Bank Merger Act". 1/11/02

• NCUA Chairman Dennis Dollar Announces Resumption Of Share Insurance Fund Updates At NCUA Board Meetings

  A once standard practice at NCUA Board meetings dropped in 1997 is making a comeback. NCUA Chairman Dennis Dollar announced today that a quarterly update on the status of the National Credit Union Share Insurance Fund (NCUSIF) will become a part of the official NCUA Board meeting agenda in 2002. NCUA Press Release 1/11/02

• OTS Withdraws Proposed Holding Company Rule

  The OTS announced that it is withdrawing a proposed rule it published in the November 8 Federal Register covering the authority of some thrift holding companies to engage in the same list of financial activities as the Federal Reserve Board permits financial holding companies under the Gramm-Leach-Bliley Act of 1999. OTS 02-03
  1/10/02

• FDIC Publishes "Your Insured Deposit" Booklet Available in Chinese and Korean

  The FDIC is pleased to announce that in addition to English and Spanish versions, its "Your Insured Deposit" booklet is now available in Chinese (traditional and simplified) and Korean. FDIC:FIL-4-2002 1/10/02

• Agencies Adopt Final Rules Concerning the Regulatory Capital Treatment of Nonfinancial Equity Investments

  The FRB, FDIC and OCC, announced the adoption of final rules governing the regulatory capital treatment of equity investments in nonfinancial companies held by banks, bank holding companies and financial holding companies. OCC:NR 2002-03 FDIC-PR-2-2002, FRB Press Release 1/09/02

• OTS Announces 12 December CRA Ratings

  The OTS announced savings associations' Community Reinvestment Act (CRA) performance evaluation ratings that became available in December 2001. OTS 02-02 1/09/02

• FRB Publishes Income and Expense Data and Transfers to the Treasury

  Preliminary figures indicate that the Federal Reserve Banks distributed approximately $27.14 billion of their $31.87 billion total income to the U.S. Treasury during 2001. FRB Press Release 1/09/02

• OCC Issues Examiner Handbook on Custody Services

  The custody business is a bank asset management activity that involves the settlement, safekeeping and reporting of customer marketable securities and cash. The level of assets under custody has increased significantly, as has competition among financial institutions for this business. OCC:NR 2002- 02 "Custody Services" booklet 1/09/02

• FDIC Seeks Comment on Proposed Policy Statement on Minority-Owned Depository Institutions

  As previously reported in the Federal Register, the FDIC is requesting public comment on the proposed Policy Statement Regarding Minority-Owned Depository Institutions. FDIC:FIL-3-2002 1/09/02

• FDIC Issues January List Of Banks Examined For CRA Compliance

  The FDIC issued its monthly list of state nonmember banks recently evaluated for compliance with the Community Reinvestment Act (CRA). The list covers evaluation ratings that the FDIC assigned to institutions in October 2001. FDIC:PR-1-2002 1/08/02

• FRB Announces New Consumer Advisory Council Members

  The Council advises the FRB on the exercise of its responsibilities under the Consumer Credit Protection Act and on other matters in the area of consumer financial services. FRB Press Release 1/07/02

• OTS Releases November Enforcement Statistics

  The OTS reported that it took six enforcement actions against two individuals and four institutions during the month of November 2001. OTS 02-01 1/07/02

• OCC Orders Eagle to Cease Payday Lending Program

  The OCC announced that Eagle National Bank has signed a Consent Order directing it to cease all payday lending activities. Eagle has been engaged in payday lending through arrangements with Dollar Financial Group. The OCC acted after finding that Eagle was in material noncompliance with an earlier Memorandum of Understanding entered into with the OCC and was engaged in numerous unsafe and unsound activities. OCC: NR 2002-01 1/04/02

• FDIC Issues FILs Relating to OFAC

  The FDIC has issued FIL-01-2002 and FIL-02-2002 to alert bankers to OFAC updates that were previously reported on by BOL. Details of all recent OFAC changes are available on the BOL OFAC page.1/03/02

• FinCEN Proposes SAR Reporting Rule for Brokers and Dealers

  FinCEN is proposing to amend the Bank Secrecy Act regulations to require brokers or dealers in securities to report suspicious transactions to the Department of the Treasury. (text) 1/03/02

• FedACH Fees Lowered

  The Federal Reserve has announced lower FedACH fees for items
  originated, items received, and for all addenda records, effective February 1, 2002. 1/03/02

• OFAC List Updated Again

  OFAC has updated its list to add six new SDGTs to the list of terrorists whose assets must be blocked. Get the details on the BOL OFAC page.
  12/31/01

• FDIC Issues Warning on Entities That May Be Conducting Banking Operations Without Authorization

  The Office of the Superintendent of Financial Institutions (OSFI) of Canada has published "Monthly Warning Advisory" (Issue No. 21), which contains the names of entities recently brought to OSFI's attention through an inquiry or complaint. FDIC:FIL-111-2001 12/31/01

• FDIC Issues Interim Guidance Concerning Correspondent Accounts Established or Maintained for Certain Foreign Banking Institutions

  These amendments are intended to make it easier to prevent, detect and prosecute international money laundering and the financing of terrorism. FDIC:FIL-110-2001 12/31/01

• FDIC Considers New Factor in Bank Merger Act Transactions

  Beginning January 1, 2002, the FDIC, in evaluating and acting on applications filed under section 18 (c) of the Federal Deposit Insurance Act (commonly known as the Bank Merger Act), will expressly consider the anti-money laundering record of each involved insured depository institution in determining the appropriateness of granting consent to the proposed transaction. FDIC:FIL-109-2001 12/31/01

• OTS Announces 14 November CRA Ratings

  The OTS announced savings associations' Community Reinvestment Act (CRA) performance evaluation ratings that became available in November 2001. OTS 01-88 12/31/01

• FRB Issues Correction to the Regulatory Capital Standards Rule

  This corrects the Federal Reserve's regulatory text of a final rule published in the Federal Register of November 29, 2001, regarding the capital treatment of recourse, direct credit substitutes, and residual interests in asset securitizations. 66FR67074 (text) 66FR67074 (pdf) 12/31/01

• FDIC Makes Public November Enforcement Actions; No Administrative Hearings Scheduled

  The FDIC released a list of orders of administrative enforcement actions taken against banks and individuals in November. No administrative hearings are scheduled for January 2002. FDIC:PR-95-2001 12/28/01

• OFAC List Updated

  SDGTs have now also been designated FTOs. BOL OFAC Page 12/27/01

• Delays in Mail Delivery to FDIC Addressees in Washington, DC

  Since October 22, 2001, mail service provided by the United States Postal Service (USPS) to FDIC addressees in Washington, DC, has been disrupted, causing delays in mail delivery to the FDIC. FDIC:FIL-107-2001 12/24/01

• FDIC Issues Alert on Fictitious "Certified" Checks are in Circulation

  The checks bear the name Sanborne Trust Company Bank, 2501 3rd Avenue South, Birmingham, AL. A telephone number, 205-250-7151, is printed on the checks as well as "Member FDIC." The Sanborne Trust Company Bank does not exist. FDIC:FIL-108-2001 12/24/01

• OFAC List Updated

  OFAC has added five new SDGTs to its listing of Specially Designated Nationals and Blocked Persons. BOL OFAC Page 12/21/01

• FDIC Hold Line in 2002 Budget

  The Board of Directors of the FDIC approved a 2002 budget of $1.1 billion, which is virtually the same level it approved for 2001. FDIC:PR-94-2001 12/21/01

• OTS Announces Revised Lending Rule To Enhance Thrift Flexibility

  OTS Director James E. Gilleran announced that OTS changed its lending and investment regulations to allow federal savings associations greater flexibility to provide low-cost credit to their customers and to invest in their communities while still operating safely and soundly. OTS 01-87 12/21/01

• OCC Publishes the Treasury Guidance on the USA PATRIOT Act

  The notice provides interim guidance to financial institutions on how to comply with the requirements of sections 313 and 319(b) of the USA PATRIOT Act of 2001. These anti-money laundering provisions concern the relationship between U.S. financial institutions and foreign banking institutions. OCC:AL 2001-12 12/21/01

• FRB Issues Asset-Size Exemption Threshold for HMDA

  The Federal Reserve Board announced that the asset-size exemption threshold for depository institutions under Regulation C (Home Mortgage Disclosure) has been increased from $31 million to $32 million. FRB Press Release 12/20/01

• IRS Announces Retirement Plan limits that are effective on 1/1/02

  The IRS announced the dollar limitations applicable to pension plans that become effective January 1, 2002 under the
  Economic Growth and Tax Relief Act of 2001 (EGTRRA), and cost-of-living adjustments applicable to dollar limitations for pension plans and other items for Tax Year 2002. IRS:Release No: IR-2001-115 12/20/01

• FDIC Issues Proposed Rule Regarding the Payment of Post-Insolvency Interest

  The purpose of the rule is to establish a single uniform interest rate, calculation method, and payment priority for
  post-insolvency interest. 66FR65144 (text) 66FR65144 (pdf) 12/18/01

• Uniform Bank Performance Reports Available to Public

  The September 30, 2001 Uniform Bank Performance Report (UBPR) now being distributed to all insured commercial banks and Federal Deposit Insurance Corporation - Insured Savings Banks (FDIC-ISB) is now available for sale to the public. FFIEC Press Release 12/18/01

• FDIC Issues Warning on Entities That May Be Conducting Banking Operations Without Authorization

  The Central Bank of Belize has issued a warning concerning an entity that is not licensed to provide banking and/or financial business in or from within Belize. Any proposed transactions involving Caribbean Building Society should be viewed with extreme caution. FDIC:FIL-105-2001 12/18/01

• TWO OFAC CHANGES ON DECEMBER 14

  On December 14, 2001, OFAC updated its sanctions list twice, adding new entities whose assets and records are to be blocked each time. The second change was made late in the business day. Full details are available on the BOL OFAC page. 12/17/01

• Regulators Distribute Call Report for Fourth Quarter 2001

  Banks should complete your fourth quarter Call Report, review it for accuracy, and submit the report electronically as soon as possible. Except for certain banks with foreign offices, your completed report must be received by January 30, 2002. FDIC:FIL-104-2001 12/17/01

• OCC Issues Semiannual Assessment

  As earlier reported in the Federal Register, the OCC has established a minimum base amount for the semiannual assessment that is due to be paid by January 31, 2001. OCC 2001-52 Final Rule Correction 12/17/01

• OCC Announces 6 New Enforcement Actions and 2 Terminations

  The OCC announced 6 new enforcement actions taken against national banks and individuals currently and formerly affiliated with national banks and 2 terminations of existing enforcement actions. OCC:NR 2001- 103 12/17/01

• OCC Releases CRA Evaluations For 19 National Banks

  The OCC released a list of Community Reinvestment Act (CRA) performance evaluations that became public during the period of November 15 through December 14, 2001. OCC:NR 2001-104 12/17/01

• FRB Announces New Members of its Thrift Institutions Advisory Council

  The Council is an advisory group made up of twelve representatives from thrift institutions. The Council meets three times each year with the Board of Governors to discuss developments relating to thrift institutions, the housing industry, mortgage
  finance, and certain regulatory issues. FRB Press Release 12/17/01

• OCC Offers New Guidance on Merchant Processing

  The OCC issued new guidance to help examiners and banks understand and manage the risks associated with the merchant processing business. OCC:NR 2001-102 12/14/01

• New Interagency Privacy Guidance

  The federal regulatory agencies just issued new staff guidance which is a series of Frequently Asked Questions covering various aspects of the privacy rules, from when financial institutions must delivery notices to how to comply with the exception for disclosures under a joint marketing arrangement with an unrelated financial institution. FRB Press Release,
  OCC:NR 2001-101, OCC 2001-51 FDIC-PR-93-2001, FDIC:FIL-106-2001
  NCUA Press Release, FTC Press Release, OTS 01-86 12/13/01

• FRB Issues Proposed Rule to Reg Z Commentary

  As earlier reported, the proposed update would clarify how creditors that place Truth in Lending Act disclosures on the same document with the credit contract may satisfy the requirement for providing the disclosures in a form the consumer may keep before consummation. 66FR64381 12/13/01

• FRB Issues a Final Rule that Amends its Regulations Aimed at Curbing Predatory Lending

  The amendments to Regulation Z broaden the scope of loans subject to the protections of the Home Ownership and Equity Protection Act (HOEPA) of 1994 by adjusting the price triggers that determine coverage under the act. FRB Press Release 66FR65604 (text) 66FR65604 (pdf) 12/13/01

• Regulators Propose Common Form for Charter and Federal Deposit Insurance Applications

  To promote consistency and reduce regulatory burden, the OCC, OTS and FDIC have proposed a uniform charter and federal deposit insurance application form. OCC:NR 2001-100, FDIC PR-92-2001 12/13/01

• Governor Edward W. Kelley, Jr., resigns from FRB<

  Kelley, who has been a member of the Board since May 26, 1987, submitted his letter of resignation to President Bush. In view of his impending departure and in keeping with Board practice, he did not attend the December 11 meeting of the FOMC. FRB Press Release 12/13/01

• FRB Issues Proposed Revisions Regarding Consumer Credit Disclosures

  The proposed revisions clarify how creditors that place Truth in Lending Act disclosures on the
  same document with the credit contract may satisfy the requirement for providing the disclosures in
  a form the consumer may keep before consummation. FRB Press Release 12/12/01

• OCC Issues CRA Interagency Examination Procedures

  The Gramm-Leach-Bliley Act imposes disclosure and reporting requirements on national banks and other insured depository institutions with respect to certain agreements related to the Community Reinvestment Act. The OCC's implementing regulation is 12 CFR 35, Disclosure and Reporting of CRA-Related Agreements (CRA Sunshine Regulation). OCC 2001-50 12/12/01

• Michael J. Zamorski Named FDIC Director of Division of Supervision

  FDIC Chairman Donald E. Powell announced that veteran FDIC official Michael J. Zamorski has been named Director of the Division of Supervision. In this position, he is responsible for overseeing the FDIC's bank supervisory activities and eight Regional Offices.
  FDIC:PR-91-2001 12/12/01

• FDIC FIL about OFAC Changes

  The FDIC has published FIL-103-2001 to notify banks of the most recent OFAC change where OFAC designated three entities as Specially Designated Global Terrorists. [The OFAC change itself was previously covered on BOL.]
  FDIC:FIL-103-2001 12/12/01

• FDIC Publishes Call and Thrift Financial Reports

  The September 30, 2001 Call Reports and Thrift Financial Reports are now available. 12/12/01

• FRB announced that it has revised its Policy Statement on Payments System Risk

  This policy allows certain depository institutions to pledge collateral to the Federal Reserve in order to access additional daylight overdraft capacity above their net debit caps. The revised policy also modifies the net debit cap calculation for U.S.
  branches and agencies of foreign banks. These changes should alleviate liquidity pressures identified during a broad review of the PSR policy. FRB Press Release
  12/12/01

• FRB eliminate five reprints from the Federal Reserve Bulletin

  The FRB announced that five documents that have regularly been reprinted in the Federal Reserve Bulletin will not appear in the Bulletin after the December 2001 issue. FRB Press Release 12/12/01

• Fed Lowers Discount Rate

  The Federal Open Market Committee decided to lower its target for the federal funds rate by 25 basis points to 1-3/4 percent. In a related action, the Board of Governors approved a 25 basis point reduction in the discount rate to 1-1/4 percent. FRB Press Release 12/12/01

• Latest FDIC Consumer News Focuses on FDIC Insurance

  If your bank were to fail, would all your deposits be covered by the FDIC? Here's what you need to know and do to "insure" your money is safe. FDIC Consumer News 12/11/01

• FDIC, OTS Announce Agreement with Holding Companies of Superior Bank

  Under the terms of the agreement, the Superior holding companies and their owners (the Pritzker and Dworman interests) admit no liability and agree to pay the FDIC $460 million and other consideration. FDIC:PR- 90-2001, OTS 01-84 12/11/01

• U.S. Banks Generally Well Positioned Entering Recession, According to FDIC Report

  Despite the continuing contraction in the U.S. economy, FDIC-insured institutions remain in generally strong financial shape and will continue to provide credit to finance economic recovery. According to a report released by the FDIC, banks are likely to face
  significantly more difficult economic conditions in the months ahead. FDIC:PR- 89-2001 12/11/01

• FDIC Reports Third Quarter 2001 Financial Results For Bank and Thrift Insurance Funds

  The FDIC announced that the Bank Insurance Fund (BIF) reported comprehensive income (net income plus current period unrealized gains/losses on available-for-sale securities) of $859 million for the first nine months of 2001, compared to $1.1 billion for
  the same period last year. FDIC:PR-88-2001 12/11/01

• FDIC Publishes the latest Regional Outlook

  12/11/01

• Susan Schmidt Bies and Mark W. Olson sworn in as members of the Board of Governors

  Susan Schmidt Bies and Mark W. Olson on Friday took the oath of office as members of the Board of Governors of the Federal Reserve System. The oath was administered by Chairman Alan Greenspan in the Chairman's office. FRB Press Release 12/10/01

• James E. Gilleran Sworn in as OTS Director

  James E. Gilleran was sworn in as the Director of the Office of Thrift Supervision (OTS), the federal agency that oversees
  the regulation and examination of savings associations. OTS 01-83 12/10/01

• OCC Reports Derivatives Volume Increases to $51.3 Trillion

  Derivatives held by U.S. commercial banks increased by $3.5 trillion in the third quarter of 2001, to $51.3 trillion, the Office of
  the Comptroller of the Currency reported in its quarterly Bank Derivatives Report. OCC:NR 2001-99 12/10/01

• Anthrax tests at the FRB

  A preliminary test of mail delivered to a secure, closed mail-handling facility outside the main
  FRB building tested positive for anthrax exposure late Thursday (12/6) afternoon. FRB Press Release 12/10/01

• OTS Extends Comment Deadline on Authority for Certain Savings and Loan Holding Companies To
  Engage in Financial Activities

  The OTS is extending the comment period for the proposed rule published on November 8, 2001. The proposed rule would clarify what financial activities are authorized for certain savings and loan holding companies after the Gramm-Leach-Bliley Act. This extension will allow interested persons until January 10, 2002 to provide comments on the proposed rule. 66FR63517 12/7/01

• FDIC Makes Public October Enforcement Actions; No Administrative Hearings Scheduled

  The FDIC released a list of orders of administrative enforcement actions taken against banks and individuals in October. No administrative hearings are scheduled for December. FDIC:PR-87-2001 12/7/01

• FDIC Issues December List of Banks Examined for CRA Compliance

  The FDIC issued its monthly list of state nonmember banks recently evaluated for compliance with the Community Reinvestment Act (CRA). The list covers evaluation ratings that the FDIC assigned to institutions in September 2001. FDIC:PR-86-2001 12/7/01

• Thrift Industry 3rd Quarter Earnings Set Record

  Thrift industry earnings rose by $100 million in the third quarter to a record $2.6 billion, the Office of Thrift Supervision reported. Earnings for the year through the quarter total $7.3 billion and are on pace to break the record earnings of $8.2 billion set in 1999. "This has been the fourth consecutive quarter of earnings growth," said Scott Albinson, OTS's managing director for supervision. "Low interest rates and the strong housing market have been the driving force of the thrift industry over the last year." OTS 01-82 12/7/01

• OCC Settles Case Against First National Bank of Marin

  The OCC has settled a case against First National Bank of Marin, Las Vegas, in which the bank agreed to cease practices that the OCC alleged are unlawful or unsafe and unsound, and to pay restitution to customers harmed by those practices. Consent Order, Fact Sheet 12/5/01

• New Harris Poll on Privacy

  There will undoubtedly be a lot of media attention to the new Harris survey on privacy notices. The Harris news release is titled "Privacy Notices Miss the Mark with Consumers" and one of its key findings is that most people find privacy notices too long and complicated. Arm yourself with the facts: l) this survey dealt with privacy notices in general, not financial institution privacy notices specifically; and 2) 70% of respondents agreed that companies "should use the same summary or checklist for their privacy policies". Financial institutions already utilize standardized content. 12/5/01

• FDIC Issues Guidance on Terrorist Info Requests

  The FDIC has issued a Special Alert to provide guidance for institutions on dealing with the list of FBI's suspected terrorists, as well as with the OFAC list. The guidance helps banks understand the different compliance responsibilities attendant to the two sets of lists. FIL-102-2001 12/5/01

• Vulnerabilities in I.E. Prompt NIPC Assessment

  The National Infrastructure Protection Center has issued Assessment 01-028 to address vulnerabilities in Microsoft Internet Explorer that are primary means through which several generations of recent mass-mailer computer worms (i.e., LoveLetter, Nimda, Klez, Badtrans.B) propagate. Under certain conditions, any e-mail or Web page with scripting that includes the command "GetObject()" as well as an ActiveX html file can view any file on the user's hard drive. The Assessment contains recommendations on guarding against the vulnerabilities. ASSESSMENT 01-028 12/4/01

• Regulatory Privacy Workshop Being Held Today

  The Interagency Public Workshop: "Get Noticed: Effective Financial Privacy Notices" is being held today in Washington, D.C. Due to the large volume of registrations, the Workshop had to be moved to a bigger location, and we're told they have a capacity crowd. The agenda includes regulators, representatives of academia and financial institutions, privacy specialists, communications experts, and consumer advocates. Information from the workshop will be available at a later point in time through the FTC Web site in audio, video, transcripts, and a CD-ROM. 12/4/01

• MORE COMPLIANCE HUMOR

  The latest addition to the BankersOnline.com e-card exchange is a new virtual greeting starring David Dickinson. Drawn straight from a Bankers' Thread post about flood insurance, it features humor only a compliance person could love -- or understand! Check it out now in the Office Humor category of the e-card exchange. And don't miss the "Rambo examiner" card while you're there. 12/4/01

• America’s Credit Unions Are Adopting Underserved Communities With A Record-Setting 12.5 Million Potential New Members In 2001

  Chairman Dollar Credits NCUA’s Streamlined Process and Regulatory Flexibility Approach With 2001 Numbers Surpassing Year 2000 Numbers By Over 10 Million NCUA Press Release 12/4/01

• OCC Publishes Its Fees for year 2002

  The purpose of this issuance is to inform all national banks, federal branches and agencies, and District of Columbia banks of fees charged by the OCC for year 2002. Changes are effective January 1, 2002.
  

  • OCC Assessments 2002
  • OCC Fees 2002
  • OCC Publications
  • Assessment Calculator
  • Assessment Return
  • Independent Trust Bank Fees
  • Independent Credit Card Bank Fees
  • OCC 2001-48 12/3/01

• FDIC Publishes Stats at a Glance

  FDIC-Stats at a Glance provides the latest quarterly and historical data on FDIC-insured institutions, the
  BIF and SAIF insurance funds, and the number of FDIC employees. FDIC Historical Trends, Industry Historical Trends 12/3/01

• OCC Issues First Quarter 2002 CRA Examination Schedule

  The OCC released its schedule of Community Reinvestment Act (CRA) examinations to be conducted in the first quarter of 2002. OCC:NR 2001-98 12/3/01

• FDIC Reminds Institutions about HMDA and CRA Data Collection Deadlines

  The FDIC would like to remind institutions that Calendar Year 2001 (CY2001) Home Mortgage Disclosure Act (HMDA) and Community Reinvestment Act (CRA) data must be submitted by March 1, 2002. FIL-101-2001 12/3/01

• FDIC Issues Alert on Counterfeit Cashier's Checks

  The FDIC has learned that additional counterfeit cashier's checks drawn on the Exchange Bank, Santa Rosa, California, are in circulation. The latest items bear the routing number of the Valley Bank of Kalispell, Kalispell, Montana. FDIC:FIL-100-2001 12/3/01

• FDIC Issues First Quarter CRA Examination Schedule

  The FDIC has issued the public list of institutions that it has scheduled for a Community Reinvestment Act (CRA) examination during the first quarter of 2002. FDIC:PR-84-2001 12/3/01

• Comptroller Underscores National Bank Efforts to Meet the Financial Services Needs of Native Americans

  Comptroller of the Currency John D. Hawke, Jr. highlighted the accomplishments of national banks in overcoming many of the barriers that have historically limited Native Americans' access to credit and financial services in Indian country. OCC:NR 2001-97 12/3/01

• NCUA Issues Order of Prohibition

  The NCUA has issued an Order of Prohibition against John Humpage, a former collection manager at Santa Fe Credit Union, Topeka, Kansas. NCUA Press Release 12/3/01

The FFIEC has announced the availability of the 2014 CRA/HMDA Reporter newsletter, which contains information on collecting accurate CRA and HMDA data and guidance on completing data submissions.

HUD and Treasury have released the December 2013 Housing Scorecard, the Obama Administration's comprehensive report of the U.S. housing market. The agencies noted that since the beginning of 2012, the number of homeowners underwater has declined by 5.7 million and homeowners' equity has risen by 55 percent to $9.7 trillion, both "encouraging signs that the housing market recovery is providing millions of American homeowners with more economic security."

The NMLS and the Conference of State Bank Supervisors (CSBS) have announced that effective January 1, 2014, agencies in Nevada, New Mexico, U.S. Virgin Islands, and Puerto Rico will no longer require mortgage loan originators (MLOs) to take a second specific test component when seeking licensure with their agencies. Thirty-nine state and territorial agencies have now adopted the new national SAFE Act MLO test.

The Bureau's Blog features an article with tips for consumers on taking control of their mortgage payments.

The FFIEC has announced the availability of the 2014 CRA/HMDA Reporter newsletter, which contains information on collecting accurate CRA and HMDA data and guidance on completing data submissions.

HUD and Treasury have released the December 2013 Housing Scorecard, the Obama Administration's comprehensive report of the U.S. housing market. The agencies noted that since the beginning of 2012, the number of homeowners underwater has declined by 5.7 million and homeowners' equity has risen by 55 percent to $9.7 trillion, both "encouraging signs that the housing market recovery is providing millions of American homeowners with more economic security."

The NMLS and the Conference of State Bank Supervisors (CSBS) have announced that effective January 1, 2014, agencies in Nevada, New Mexico, U.S. Virgin Islands, and Puerto Rico will no longer require mortgage loan originators (MLOs) to take a second specific test component when seeking licensure with their agencies. Thirty-nine state and territorial agencies have now adopted the new national SAFE Act MLO test.

http://www.bankersonline.com/topstory/november01.html

• OTS Announces CRA Examination Schedule for First Quarter 2002

  The OTS published a list of 86 savings associations that are scheduled for Community Reinvestment Act (CRA) examinations during the first quarter of 2002. OTS 01-81 11/30/01

• FDIC Reports Commercial Banks Earn $17.4 Billion in the Third Quarter, 2001

  Insured commercial banks earned $17.4 billion in the third quarter of 2001, a drop of almost 10 percent
  from third quarter profits the year before, the Federal Deposit Insurance Corporation announced. FDIC:PR-83-2001 11/30/01

• Regulators issue final rule to change their regulatory capital standards

  The agencies are changing their regulatory capital standards to address the treatment of recourse obligations, residual interests and direct credit substitutes that expose banks, bank holding companies, and thrifts (collectively, banking organizations) primarily to credit risk. The final rule treats recourse obligations and direct credit substitutes more consistently than the agencies' current risk-based capital standards and adds new standards for the treatment of residual interests, including a concentration limit for credit-enhancing interest-only strips. 66FR59613 (text)
  66FR59613 (pdf) FDIC-PR-82-2001, FDIC:FIL-99-2001, FRB Press Release, OCC:NR 2001-96, OCC 2001-49 11/29/01

• FRB is Proposing to Amend its Risk-based Capital Guidelines

  The FRB is proposing to amend its risk-based capital guidelines to clarify that deferred tax assets in excess of the allowable amount (disallowed deferred tax assets) are included in the items that are deducted from tier 1 capital for the purpose of determining the maximum allowable amount of tier 2 capital that a banking organization may include in qualifying total capital and the maximum allowable amount of term subordinated debt and intermediate-term preferred stock that may be treated as supplementary capital. 66FR59176 text 66FR59176 pdf 11/28/01

• Treasury Issues Anti-Money Laundering Notice

  The notice provides interim guidance to financial institutions on how to comply with the requirements of sections 313 and 319(b) of the USA PATRIOT Act of 2001. These anti-money laundering provisions concern the relationship between U.S. financial institutions and foreign banking institutions. FRB:SR 01-29 Treasury Notice 11/27/01

• OCC Releases CRA Evaluations For 21 National Banks

  The OCC released a list of Community Reinvestment Act (CRA) performance evaluations that became public during the period of October 15 through November 14, 2001. OCC:NR 2001-95 11/28/01

• OCC Announces 10 New Enforcement Actions

  The OCC announced 10 new enforcement actions taken against national banks and individuals currently and formerly affiliated with national banks. OCC:NR 2001-94 11/28/01

• Large credit unions post strong 3rd quarter results

  Federally insured credit unions with assets over $50 million grew a significant 12.81 percent in the first nine months of 2001 while the number of institutions declined slightly, down from 1,558 to 1,547. These institutions represent 15 percent of federally insured credit unions and nearly 83 percent of federally insured credit union assets. NCUA Press Release 11/28/01

• FDIC Distributes Annual Report Form on Indebtedness of Executive Officers and Principal Shareholders to Correspondent Banks

  The FFIEC 004 report is designed to assist an institution's executive officers and principal shareholders in complying with the federal banking agencies' regulations implementing the Act. FDIC:FIL-98-01 11/27/01

• FDIC to Broadcast Preliminary Bank Earnings Live on the Web

  The FDIC will announce preliminary third-quarter 2001 earnings for the commercial banking industry on Thursday,
  November 29, at 10:00 a.m. FDIC Live Broadcast 11/27/01

• NCUA Issues Final Rule on Regulatory Flexibility Program

  The NCUA Board is issuing a final rule that will permit credit unions with advanced levels of net worth and consistently strong supervisory examination ratings to be exempt, in whole or in part, from certain NCUA regulations. The NCUA Board is also issuing a final amendment to the appraisal regulation to increase the dollar threshold from $100,000 to $250,000 for when an appraisal is required. 66FR58656 (text) 66FR58656 (pdf) 11/26/01

• FRB Publishes Correction to Reg K

  The FRB is adopting correcting amendments to the final rule published in the Federal Register of October 26, 2001, regarding international banking operations and the corresponding delegations of authority. 66FR58655 (text) 66FR58655 (pdf) 11/26/01

• OTS Announces 20 October CRA Ratings

  The OTS announced savings associations' Community Reinvestment Act (CRA) performance evaluation ratings that became available in October 2001. OTS 01-79 11/26/01

• OTS Releases October Enforcement Statistics

  The OTS reported that it issued one enforcement order to an institution during the month of October. OTS 01-80 11/26/01

• FRB Releases Minutes from Discount Rate Meeting

  The FRB released the minutes of its discount rate meetings from September 24 to October 2, 2001. 11/19/01

• OCC Issues Semiannual Assessment

  The amendment revises the formula to establish a minimum base amount for the semiannual assessment for the first assessment bracket ($0-$2 million) of the assessment schedule. This change will enable the OCC to modestly adjust its assessments to better align with its costs of supervision. 66FR57645 (text) 66FR57645 (pdf) Correction 66FR58786 (text) 66FR58786 (pdf)11/16/01

• FRB publishes annual adjustment of trigger fee for additional mortgage loan disclosures

  Under the revision to the FRB’s staff commentary to Regulation Z, the dollar amount of the fee-based trigger has been adjusted from $465 for 2001 to $480 for 2002 based on the annual percentage change reflected in the Consumer Price Index that was in effect on June 1, 2001. FRB Press Release
  11/15/01

• Fed Announces Results of Study of the Payments System

  American consumers and businesses make 80 billion retail payments annually, nearly 50 billion by check and 30 billion by electronic instruments, such as credit cards, debit cards and the Automated Clearing House (ACH), according to the first comprehensive studies of the retail payments system by the Federal Reserve System in more than 20 years. FRB Press Release 11/15/01

• Agencies Issue Order Against the State Bank of India

  Federal and state banking regulators announced the issuance of a joint Order to Cease and Desist and Order of Assessment of a Civil Money Penalty and Monetary Payment against the State Bank of India, Mumbai, India, and the bank's three branches in New York, New York, its branch in Chicago, Illinois, and its agency in Los Angeles, California. FDIC-PR-81-2001 11/15/01

• NCUA Issues Order of Prohibition

  The NCUA announced that it has issued an Order of Prohibition against Roslyn Keen, former manager of Millard Fillmore
  Hospital Federal Credit Union in Buffalo, New York. NCUA Press Release 11/15/01

• NCUA Chairman Addresses 4th Faith-Based Conference

  NCUA Chairman Dennis Dollar told 150 representatives of faith-based credit unions that they have “a bright future and fill an important niche in the credit union community” and encouraged them to consider adopting their surrounding communities as a way to help offer a low-cost alternative to predatory lenders. NCUA Press Release 11/15/01

• NCUA Chairman Dennis Dollar releases a statement regarding the U.S. Court of Appeals decision

  "The Court of Appeals’ decision issued represents a tremendous victory for NCUA and credit unions, but it is most of all a decisive win for the concept of consumer choice. We believe strongly that our field of membership rules adhered to both the letter and the spirit of the Credit Union Membership Access Act, and we are so pleased that the court overwhelmingly agreed. It is my hope that this unanimous ruling will be the beginning of the end to the nearly two decades of legal conflict pursued by the banking industry on both NCUA and America's credit unions. NCUA Press Release 11/15/01

• Court Dismisses ABA Challenge to NCUA's Field of Membership Rule

  The United States Court of Appeals dismissed the American Bankers Association suit against NCUA's field of membership regulation issued pursuant to the Credit Union Membership Access Act (CUMAA) November 9, 2001. The court found the ABA's arguments without merit and affirmed the district court's dismissal of the case, except for one claim dismissed as moot and another dismissed as unripe. NCUA Press Release 11/15/01

• FRB Releases Senior Loan Officer Opinion Survey on Bank Lending Practices

  The October 2001 Senior Loan Officer Opinion Survey on Bank Lending Practices focused on changes in the supply of, and demand for, bank loans to businesses and households over the past three months. The survey included supplementary questions on banks' internal credit risk ratings for business loan customers, loans for the purpose of share buybacks, and liquidity in the secondary market for business loans. 11/14/01

• FDIC FIL about OFAC Changes

  The FDIC has published FIL-972001 to notify state-chartered nonmember banks about the 11/7 OAC list changes. [The OFAC change itself was previously covered on BOL.] FDIC:FIL-97-2001 11/14/01

• FRB Issues Advisory on the use of forward equity transactions by banking organizations

  The FRB has determined that shares covered by forward equity arrangements should not be included in the Tier 1 capital of a bank holding company or a state member bank. The amount to be excluded would be equal to the common stock, surplus, and retained earnings associated with the shares. FRB:SR 01-27 11/12/01

• Chairman Greenspan Designate Representatives to Air Transportation Stabilization Board

  FRB Chairman Alan Greenspan today designated Governor Edward M. Gramlich to serve in his place as the chairman of the Air Transportation Stabilization Board. Treasury Secretary Paul O'Neill designated Under Secretary for Domestic Finance Peter Fisher to serve in his place as a Board member and Transportation Secretary Norman Mineta designated DOT General Counsel Kirk Van Tine to serve in his place as a Board member. FRB Press Release 11/12/01

• Challenges Faced by Women in Building and Maintaining Assets

  Remarks by Julie L. Williams, First Senior Deputy Comptroller and Chief Counsel, Office of the Comptroller of the Currency
  Before the McAuley Institute’s 7th National Women and Housing Conference OCC:NR 2001- 93 11/12/01

• NCUA Issues Order of Prohibition

  The NCUA announced that it has issued an Order of Prohibition against Elizabeth A. Maxwell, former manager of Greater Southwest Federal Credit Union in Sugar Land, Texas. NCUA Press Release 11/9/01

• Thrift Holding Companies May Engage in Activities Approved for Financial Holding Companies, Says OTS

  The OTS published a proposed rule revising its regulations to make clear that all thrift holding companies are authorized under the Gramm-Leach-Bliley Act of 1999 to engage in the same list of financial activities as financial holding companies are permitted by the Federal Reserve Board. Gramm-Leach-Bliley gave financial holding companies new powers to engage in activities that are financial in nature, incidental to a financial activity or complementary to a financial activity. 66FR56488 (text) 66FR56488 (pdf) OTS 01-77 11/8/01

• FDIC Report Says Risks in Banks' Loan Portfolios and Loan Administration have Increased Slightly

  FDIC examiners have reported increases in risks in banks' loan portfolios and in the way loans are administered, according to the agency's latest Report on Underwriting Practices, which covers the six months ending September 30, 2001. FDIC:PR-80-2001 11/8/01

• NCUA Chairman Visits New York Credit Unions Recovering from September 11 Attacks

  NCUA Chairman Dennis Dollar received a briefing from leaders of New York credit unions impacted by the tragedy on September 11, as well as NCUA regional staff and representatives of New York state regulatory authorities. NCUA Press Release 11/8/01

• Terrorist Additions to the OFAC SDN List

  OFAC has added additional entities and individuals to the list of SDGTs. The names have been inserted into all versions of the SDN list and the brochure on Terrorism. OCC:Alert 2001-14 11/7/01

• FRB Lowers Fed Funds Rate to 2 Percent

  The FOMC decided to lower its target for the federal funds rate by 50 basis points to 2 percent. In a related action, the Board of Governors approved a 50 basis point reduction in the discount rate to 1-1/2 percent. FRB Press Release 11/7/01

• FDIC Publishes Historical Statistics on Banking

  The Historical Statistics on Banking provides annual statistical information on the banking industry beginning in 1934. These data can be used to identify and analyze long-term trends and to develop benchmarks to evaluate the current condition of the banking and thrift industries. 11/7/01

• FDIC Issues November of Banks Examined for CRA Compliance

  The FDIC issued its monthly list of state nonmember banks recently evaluated for compliance with the Community Reinvestment Act (CRA). The list covers evaluation ratings that the FDIC assigned to institutions in August 2001. FDIC:PR-79-2001 11/6/01

• NCUA Holds Historic Public Budget Briefing Announces 33.5 Staff Reductions In 2002 And Projection Of Planned Budget Decrease in Agency's 2003 Budget

  NCUA held its first open budget briefing with the agency's three-member Board participating with the public in the historic event. The Budget Briefing and Public Forum was announced in September by NCUA Chairman Dennis Dollar as a way to “shed additional light” on the NCUA budget process and allow the credit union industry and interested parties the opportunity to provide views and opinions for the agency's consideration. NCUA Press Release 11/6/01

• Seidman Recounts OTS Accomplishments In Farewell Address to Thrifts

  In her farewell address to the thrift industry, Office of Thrift Supervision Director Ellen Seidman reviewed her four-year
  tenure, a time of enhanced profitability and stability for both OTS and the thrift industry. She focused on her actions to rebuild OTS, enhance communication between the agency and thrifts, and improve the thrift charter. OTS 01-76 11/6/01

• Crossing the Bridge to Self-Employment

  A guide to state and federal programs for people who seek to start their own businesses. 11/6/01

• OTS Outlines Refinements to Mutual Examination Process

  The OTS issued updated guidance on the examination of mutual institutions. OTS 01-75 11/5/01

• OCC Guidance Cautions National Banks on Third Party Relationships

  The OCC issued guidance on managing the risks that arise when national banks have business relationships with third
  parties. OCC:NR 2001- 92 11/5/01

• The National Infrastructure Protection Center (NIPC) issued Advisory 01-026 to advise computer users of the increased potential for distributed denial of service (DDoS) attacks. A previous advisory on DDoS attacks had been issued in September, but the NIPC notes that cyber protests and hacktivist activity have increased since the previous advisory (01-021) was issued and the potential for targeting U.S. organizations is higher than in September. 11/5/01

• Washington Postal Federal Credit Union responds to an onsite crisis

  After two postal workers died from anthrax inhalation at the Brentwood Road Mail Processing Center in northeast Washington, D.C., the facility was shut down Sunday, October 21, 2001. No one can enter the quarantined building for what may be up to 12 weeks. NCUA Press Release 11/2/01

• OTS Issues Proposed Rule to Clarify its Lending and Investment Regulations

  The OTS proposes to revise and clarify its lending and investment regulations to give savings associations greater flexibility in a changing marketplace. The proposed regulatory amendments are intended to help thrifts take better advantage of the flexibility available under the Home Owners' Loan Act (``HOLA''), to provide low-cost credit to their customers, and to invest in their communities while still operating safely and soundly. 66FR55131 (text),
  66FR55131 (pdf) Correction 66FR59050 11/1/01

• OCC Issues Correction to Final Rule the would Amend that Percentage of Capital and Surplus a Bank may Loan

  The OCC recently published a final rule amending part 32, the regulation governing the percentage of capital and surplus that a national bank may loan to any one borrower. Inadvertently, six cross-references in the existing regulation were not amended to reflect changes made by the final rule. 66FR55071 (text),
  66FR55071 (pdf), Original Published Final Rule 11/1/01

• FRB Approves Fee Schedules for Payment Services

  The price level for Federal Reserve priced services in 2002 is projected to increase 2.1 percent from the 2001 level. Because of fee reductions in recent years, the overall price level has risen only 3.5 percent since 1996. FRB Press Release 11/1/01

• FDIC Approves Sale Of Superior Federal Bank, FSB, Hinsdale, Illinois

  The Board of Directors of the FDIC approved the sale of the branches and deposits of Superior Federal Bank, FSB. The winning bidder is Charter One Bank, FSB, Cleveland, Ohio. FDIC:PR-78-2001 11/1/01

• Dollar Calls Overhead Transfer Funding Process Both Congressionally Authorized And Historically Successful

  NCUA Chairman Dennis Dollar has called the agency’s funding process in which a portion of the agency’s budget is allocated to the share insurance fund as an “overhead transfer” to cover insurance-related costs “legally strong and proven successful over 30 years of credit union growth and increased financial stability. NCUA Press Release 11/1/01

• NCUA Issues Order of Prohibition

  The NCUA announced that it has issued an Order of Prohibition against Jill Marie Swatloski, former branch manager of Valley
  Communities Credit Union in Mosinee, Wisconsin. NCUA Press Release 11/1/01

• FDIC Makes Public September Enforcement Actions; One Administrative Hearing Scheduled

  The FDIC released a list of orders of administrative enforcement actions taken against banks and individuals in September. One administrative hearing is scheduled for November. FDIC:PR-77-2001 11/1/01

• OTS Proposes Revising Lending Rule To Enhance Thrift Flexibility, Clarifies Existing Lending Rule, Starts Pilot Program To Ease Disparities

  The OTS proposed changing its lending and investment regulations to allow thrifts greater flexibility to provide low-cost credit to their customers and to invest in their communities while still operating safely and soundly. OTS also reminded thrifts of the lending and investment flexibility they already have under existing rules and announced a pilot program to alleviate competitive lending disparities for thrifts. OTS 01-74 11/1/01