Final Regulation Summaries

The final rule revises the definition of a “collateralized debt obligation” (CDO) that corporates are prohibited from investing in. The following would be specifically excluded from the definition of CDOs: commercial mortgage backed securities, securities collateralized by Agency mortgage-backed securities (Agency MBS); and securities that are fully guaranteed as to principal and interest by the United States government and its agencies and government sponsored enterprises.

The final rule broadens the definition of “low-risk assets” for regulatory capital purposes to include debt instruments on which the payment of principal and interest is unconditionally guaranteed by NCUA.

The interim final rule expands the types of determinations that credit unions can appeal to the NCUA's Supervisory Review Committee.

The rule details escrow requirements for first liens secured by a consumer's principal dwelling.

The IRPS establishes the requirements and process for chartering corporate federal credit unions.

The final rule establishes the scope and standards of federal credit union directors' fiduciary duties, which changes the current rule that directs FCUs to follow state law.

The Agencies have adopted the guidelines mostly as proposed, with some clarifications and expansions.

NCUA has made it easier for federal credit unions to participate in U.S. Department of Treasury's Making Home Affordable Program.

This final rule adopts minor revisions to NCUA's TISA rule regarding overdraft protection. The rule clarifies but does not substantively alter changes to disclosure practices to overdraft protection programs.

This interim final rule adopts minor revisions to the NCUA's TISA rule regarding overdraft protection. The proposal clarifies but does not substantively alter the recent changes to overdraft protection programs.

The amendment impacts four exemptions that currently exist for credit unions that qualify for the NCUA's Regulatory Flexibility (RegFlex) program.

The 2010 standards impose new physical access and speech output requirements for ATMs. The new requirements apply to all ATMs that are installed on or after March 15, 2011. Existing ATMs do not need to comply with the new physical access requirement, provided the ATM is in compliance with the 1991 standards. However, existing ATMs may need to comply with the speech requirements, based on the ADA's undue burden test.

The rule clarifies, but does not substantively alter, certain changes to overdraft protection programs implemented in the Federal Reserve Board's (the Board) November 2009 rule (the November Rule) amending Regulation E.

The proposed guidance aims to minimize compliance and reputation risk concerns related to reverse mortgage lending.

The rule requires lenders that extend credit, based on an individual's credit report, to provide risk-based pricing notices if the terms “are materially less favorable” than the best terms available to a “substantial proportion of consumers.”

The rule amends the general lending rule and allows credit unions to offer short term, small amount loans (STS loans) as an alternative to pay day lenders.

The final rule amends NCUA's Chartering Manual by establishing more objective standards for community chartering.

The rule requires the purchaser or assignee of a mortgage to provide the required disclosures in writing no later than thirty days after the date on which the loan is sold or otherwise transferred or assigned.

NCUA has issued a final rule implementing the registration requirements under the Secure and Fair Enforcement of Mortgage Licensing Act (SAFE Act) for employees of federally insured credit unions that act as mortgage loan originators as well as their credit unions.

NCUA's final rule follows an 18-month long rulemaking process that included an Advance Notice of Proposed Rulemaking, a Proposed Rulemaking, comments from the public and numerous town hall meetings. NCUA's final rule was issued in conjunction with its announcement of its plan regarding legacy assets at corporates.

This rule implements the final two provisions of the Credit Card Accountability, Responsibility and Disclosure Act (CARD Act), which (1) requires penalty fees to be “reasonable and proportional” to the omission or violation; and (2) requires credit card issuers that increase a cardholder's interest rate to periodically review the consumer's account to determine if the rate should be decreased.