Banking

Non-public entities will have an extra year to implement new accounting standards crafted by the Financial Accounting Standards Board (FASB).

Multiple trade groups advocated for a delay in the implementation date but recently proposed updates to eliminate redundancy have raised other concerns that have nothing to do with the timing of compliance, as the Independent Community Bankers of America’s James Kendrick told Dodd Frank Update.

Find out what other issues related to the new standards and proposed changes to it have some in the industry on edge.

The Senate voted to confirm Michelle “Miki” Bowman for the Federal Reserve Board seat earmarked for someone with community banking experience. She is the first person confirmed for the seat since its creation during the Obama administration.

Her nomination has been championed by community banking trade groups, such as the Independent Community Bankers of America and the American Bankers Association, since it was announced in April.

Find out more details about her confirmation.

Following in the footsteps of its regulatory counterparts, the Federal Deposit Insurance Corp. (FDIC) is moving forward with its plans to form the agency’s own Office of Innovation. 

FDIC Chairwoman Jelena McWilliams offered details on what the office will look like during an event at the Federal Reserve Bank of Philadelphia.

Find out what details she described about the new office’s priorities and goals.

The Federal Deposit Insurance Corp. (FDIC) announced it is seeking information about small-dollar lending among entities it supervises.

Specifically, commenters are being asked about the supply and demand of small-dollar lending products provided by banks, information about challenges banks face in offering small-dollar credit products and what role technology and other means can play in helping banks meet consumer demand in that area.

Read on to find out more about what the agency is hoping to learn.

Streamlined call reports will become a reality for many more banks with the implementation of a new rule proposed by the federal banking agencies, as directed by S. 2155.

The proposal immediately met with criticism from the Independent Community Bankers of America, which argued that the agencies failed to fulfill the intent of Congress in lessening condition reporting burdens.

Find out more about the proposal and the industry’s initial take on it.

Banking agencies and other regulators are being urged to consider formal rulemaking to provide greater certainty pertaining to the use of supervisory guidance in examinations, which some industry advocates believe is too prevalent.

The letters note three reasons the banking trade organizations support the interagency policy statement but also detail their concerns about regulators’ perceived overreliance on guidance materials.

Find out more about why some industry organizations are calling for formal rulemaking to address this matter.

With the Consumer Financial Protection Bureau’s (CFPB) remittance rule turning 5 years old, the time has come for a Dodd-Frank Act-mandated assessment of the rule’s effectiveness in protecting consumers when sending remittance transfers to other countries.

In addition to evaluating the rule’s effectiveness, the report also provided information on its effects on the financial marketplace.

Find out what details the bureau uncovered about the rule’s impact.

The Federal Reserve Board approved a proposal to implement new prudential standards to ease liquidity and capital requirements for banking entities that meet certain criteria for total assets and interconnectivity.

The proposal mainly would impact financial institutions with assets levels between $100 billion and $250 billion, and would not impact the largest, most complex financial entities.

Find out more about the proposal and its potential implications.

In effort to standardize how counterparty risk is calculated, the three federal banking regulators issued a proposed rule to establish a new approach that accounts for the exposure amount of derivative contracts under the regulatory capital rule.

The proposed “standardized approach for counterparty credit risk,” or SA-CCR, would be an alternative to the current exposure methodology for calculating advanced approaches total risk-weighted assets under the capital rule.

Find out more about the potential benefits of the new calculation method. 

Banks will face less red tape when considering job applicants with minor theft or drug offenses on their records thanks to the Federal Deposit Insurance Corp.’s (FDIC) recent modifications to its Statement of Policy (SOP) for Section 19 of the Federal Deposit Insurance (FDI) Act.

Section 19 prohibits a person convicted of any criminal offense involving dishonesty, breach of trust, money laundering or who has entered into a pretrial diversion or similar program (program entry) in connection with a prosecution for such offense, from participating in the affairs of an FDIC-insured institution.

Read on to get more details about the modifications.