Federal banking regulators are taking a closer look at the potential risks present in various bank-fintech relationships, as they become increasingly prevalent within the financial sector. Learn how to weigh in via the recent request for information on this matter, as well as other developments included in this regulatory roundup.
Regulators request feedback on risks related to bank-fintech relationships
The federal bank regulatory agencies issued a statement reminding banks of potential risks associated with third-party arrangements to deliver bank deposit products and services. The agencies indicated their support for responsible innovation and banks engaging in such arrangements, provided they are executed in a safe and sound manner and in compliance with applicable laws and regulations. The agencies noted that while these arrangements can provide benefits, supervisory experience has identified a range of safety and soundness, compliance, and consumer-related concerns with the management of these arrangements. Separately, the agencies issued a request for additional information on various types of bank-fintech arrangements, including with respect to deposit, payments, and lending products and services. Read more here.
GAO report includes recommendations to improve federal programs
The U.S. Government Accountability Office (GAO) issued a report detailing various recommendations for actions Congress and federal agencies could take to make the government work more efficiently and effectively. The GAO asserts that some of these recommendations have the potential to produce between $106 billion and $208 billion of measurable, future financial benefits, according to GAO’s simulations. Many are also intended to strengthen national security, enhance public health and safety, and promote sound management throughout government. Additionally, some could help Congress refine and create laws framing federal policies across the spectrum of the government’s responsibilities. Learn more here.
FOMC releases tentative meeting schedule
The Federal Open Market Committee (FOMC) announced its tentative meeting schedule for 2025 and 2026. The committee releases a policy statement at 2 p.m. Eastern Time on the second day of each regularly scheduled meeting, and the Chair holds a news conference at 2:30 p.m. Eastern Time the same day. These meetings generally coincide with announcements regarding the Federal Reserve’s highly-anticipated decisions regarding potential changes with respect to the federal funds rate. The full list of dates can be found here.