Regulatory agencies have increased their attention on the impact certain types of financial abuse can negatively impact not only people’s credit scores but their quality of life. Learn what several regulatory bodies have to say about one common form of financial abuse, and how one agency reimbursed consumers harmed by misuse of their personal credit information in this roundup:
Agencies issue joint statement addressing elder abuse
Five federal financial regulatory agencies joined the Financial Crimes Enforcement Network (FinCEN) and state financial regulators in issuing a statement addressing the issue of elder abuse and offering examples of risk management and other practices that may be effective in combatting elder financial exploitation. The agencies explained that older adults who experience financial exploitation often lose their life savings and financial security as a result, among other forms of harm. A FinCEN financial trend analysis of Bank Secrecy Act reports over a one-year period ending in June 2023 found that about $27 billion in reported suspicious activity was linked to elder financial exploitation. Access the full statement here.
FTC redresses consumers harmed by credit report misuse
The Federal Trade Commission (FTC) announced its plans to provide nearly $500,000 in redress to 470 consumers who filed a valid claims against the home security company Vivint Smart Homes for misusing their credit report information. The company’s representatives allegedly obtained financing for unqualified customers by using credit histories belonging to unrelated third-parties with the same or similar names, or adding cosigners without their permission. The average payment will be $1,056 for the first round of refunds related to this matter. Read more here.
Federal Reserve clarifies EBA access guidelines
The Federal Reserve published a technical clarification regarding guidelines governing access to excess balance accounts (EBAs) – limited-purpose accounts at a Federal Reserve Bank established for maintaining the reserve balances of eligible institutions. An EBA is managed by an agent on behalf of the participating institutions. The Fed’s account access guidelines establish transparent, risk-based, and consistent factors for Reserve Banks to utilize when reviewing requests for access to accounts and services. The EBA guidance will take effect upon its publication in the Federal Register. Find more information here.
NCUA announces 2025 meeting schedule
The National Credit Union Administration Board released its monthly meeting schedule for 2025. Open Board meetings are scheduled to begin at 10 a.m. EST on the following dates: Jan. 16, Feb. 27, March 27, April 17, May 22, June 17, July 24, Sept. 18, Oct. 23, Nov. 20, and Dec. 18. The agency acknowledged that no meeting is scheduled for August and noted that the meeting schedule is subject to change. Read more here.