DOL Final Rule – Overtime and Exempt Status

The Department of Labor released its Final Rule regarding overtime and exempt status for executive, administrative, and professional employees.  As a result, effective December 1, 2016, the credit union can no longer consider employees making less than $47,476 annually as exempt from overtime pay. Credit Union Action Required Effective December 1, 2016, the credit union can no longer consider employees … Read More

Interagency Guidance Regarding Deposit Reconciliation Practices

On May 18th, the Banking Brotherhood (Federal Reserve System, CFPB, FDIC, NCUA and OCC) released guidance for institutions regarding deposit reconciliation practices. If you recall, last year the CFPB, OCC, and FDIC took action against Citizens Bank for failing to credit consumers the full amounts of their deposited funds.  “Citizens Bank regularly denied customers the full credits of their deposits … Read More

Elder Financial Exploitation Webinar

If it’s free, it’s me… On Wednesday, May 25 at 11:00, the CFPB will hold a webinar on how financial institutions can protect older consumers from financial exploitation.  The presentation will highlight a recent CFPB report, Recommendations and Report for Financial Institutions on Preventing and Responding to Elder Financial Exploitation.  We blogged about the report here:  https://complianceservicesgroup.com/cfpbs-advisory-report-financial-institutions-preventing-elder-financial-abuse/. Credit unions can … Read More

Website Accessibility & ADA

The Department of Justice released a Supplemental Advance Notice of Proposed Rulemaking relating to website accessibility for state and local government entities – public entities. The proposal does not affect credit unions, but may be a harbinger of things to come. The DOJ previously announced that they are reviewing requirements for websites, and plan on staggering proposed requirements. The first … Read More

Washington Uniform Power of Attorney Act

The Washington State Legislature passed Senate Bill 5635, which repeals the Washington State Power of Attorney Act and replaces it with a slightly modified Uniform Power of Attorney Act. The Act is effective January 1, 2017. Credit unions should: Review the new allowances and requirements for POAs created after January 1, 2017 Plan on using the new Certification form beginning … Read More

Beneficial Owner Verification Requirements

FinCEN released a Final Rule under the Bank Secrecy Act, which imposes specific requirements for financial institutions to identify and verify the identity of beneficial owners of legal entity customers when opening a new account. Beneficial owner – is either an individual who directly or indirectly owns 25 percent or more of the equity interest of a legal entity customer, … Read More

Mandatory Arbitration Clause Proposal

The CFPB released proposed rules prohibiting mandatory arbitration clauses in new contracts that deny groups of consumers class action options. The Rules would apply to most all consumer financial products and services that the CFPB oversees, including basic services – lending, storing, moving or exchanging money.  Under the Proposal, credit unions would still be able to include arbitration clauses in … Read More

Free Cybersecurity Risk Webinar

If it’s free, it’s me… The NCUA announced that it will host a Cybersecurity Risk Webinar on May 12th, at 11:00 PST.  The webinar is free. From the NCUA: Tim Segerson, Deputy Director of NCUA’s Office of Examination and Insurance, and William Myers, Director of NCUA’s Office of Small Credit Union Initiatives, will provide an overview of cybersecurity risks affecting … Read More

FFIEC Proposed changes to the Consumer Compliance Rating System

The Federal Financial Institutions Examination Council (FFIEC) agencies issued a proposed rule updating the Uniform Consumer Compliance Rating System.  This System has been in place since 1980.   No action is required on the part of the credit union, as this is currently a proposed amendment, and if enacted, would not institute new supervisory expectations. The FFIEC will accept comments … Read More