Week of July 25

In This Issue…

FDIC updates Enforcement Actions Manual on cease-and-desist, consent orders

The FDIC has updated chapters one and four of its Formal and Informal Enforcement Actions Manual, entitled Overview and Administrative Matters and Cease-and-Desist Actions, respectively, regarding the agency’s minimum standards for terminating cease and desist and consent orders issued under Section 8(b) of the Federal Deposit Insurance (FDI) Act.

Highlights of the changes include a change to Section 8(b) of the FDI Act that authorizes the FDIC to issue a cease-and-desist order, which is titled a “consent order” if the action is not contested, when the facts reasonably support the conclusion that an insured depository institution has engaged, or is about to engage, in

  • An unsafe or unsound practice in conducting the business of the institution, or
  • A violation of a law and/or regulation, written agreement with the FDIC, or written condition imposed by the FDIC in connection with the granting of any application or other request.

Section 8(b) orders may be terminated under any of the following conditions:

  • The institution is in full compliance with all the provisions of the order and has fully corrected the violations of laws and regulations, unsafe and unsound practices, or conditions that led to the issuance of the order.
  • Any provisions deemed “not in compliance” have become outdated or irrelevant to the institution’s current circumstances, including situations in which the institution is closed.
  • Deterioration or any provisions deemed “not in compliance” leads to issuance of a new or revised formal action.

You can click here to read about all the changes on the FDIC website.

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Banks overdraft/NSF fee revenues increase, according to CFPB

The Consumer Financial Protection Bureau released a blog post last week that showed overdraft revenue has increased over the past year, based on the CFPB’s analysis of Call Report data.

The CFPB found the recent increase in overdraft revenue is greatest among community and midsize banks. However, the data show that overall overdraft revenue is down 20% since the onset of the COVID-19 pandemic in 2019.

Click here to read the CFPB’s blog post.

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Annual Washington Visit set for Oklahoma bankers

The OBA’s Annual Washington Visit has been scheduled for Sept. 26-28 and the hotel will be the Waldorf Astoria.

Besides all the usual – and incredibly useful – meetings with the movers and shakers on Capitol Hill, we will host an “OBA Sports Night” at Walters Sports Bar on the Monday night of the visit, allowing everyone to decompress, enjoy a casual evening and compare notes.

Registration information should be hitting your bank shortly, but you can also download the registration and information form, and get more info on the hotel, by clicking here (.pdf). Click here to access the hotel reservation link.

If you have any questions, contact Adrian Beverage or Megan McGuire at the OBA.

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OBA education corner …

“Hot town, summer in the city, back of my neck getting dirty and gritty.”

Sure, The Lovin’ Spoonful wrote this line back in 1966, and probably weren’t even considering any place in Oklahoma at the time, but it’s sure suitable to describe our state’s living conditions recently!

So, take a second to cool off inside, and check out the latest educational offering from the OBA while you do so!

  • Writing Effective SAR Narratives, Aug. 2, webinar — This session will explain what information should be included in the narrative, the level of information needed and how the information should be presented.
  • Total TRID – Four-Part Series, Aug. 8, 9, 10, 11 — This four-part program provides a very comprehensive review of the TRID rules, the Loan Estimate (LE), and the Closing Disclosure (CD). Whether you are new to TRID or a veteran seeking a review of the requirements, this program will meet your needs.
  • Advertising Compliance, Aug. 9, webinar — Advertising presents a unique challenge when it comes to regulatory compliance. This is due to the fact that you often have to deal with many different regulations at one time. This webinar will walk you through all the requirements that could come into play.
  • Opening New Accounts, Aug. 17-Tulsa; Aug. 18-Oklahoma CityThis fullday workshop teaches important new account opening procedures, best practices and compliance requirements while focusing on vital information for every type of new account.
  • FORVIS/OBA Banking Symposium, Aug. 30, Oklahoma City — This conference is a must attend for all directors, CEOs, CFOs and others in the banking industry who are impacted by economic, accounting, credit, legal, taxation, regulatory or other issues impacting the banking industry.
  • 2022 OBA Basic Banking School, Sept. 12-15, Oklahoma City — This school is designed to introduce student sto basic banking concepts as they relate to the overall functioning of a bank.
  • 2022 Credit Analysis Basics, Sept. 22-Tulsa; Sept. 23-Oklahoma CityAttend this proactive seminar and learn how banks make lending decisions based on the five Cs of credit- capacity, capital, collateral, conditions and character.

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