Compliance Blog

Posted by Anthony Demangone

Here are a few items of interest on this fine Friday.

Free Fed Webinar.  The Federal Reserve's Consumer Compliance Outlook "service" is hosting a free webinar on May 26 to address the Fed's proposal regarding "Ability to Repay Standards for Mortgages." You can sign up via the link above.  I think the "Consumer Compliance Outlook" gang is one of the better regulator-related services out there.  They write and speak in English.  While I may not like the stances they take on things, I do salute the fact that the Fed, via this group, clarifies areas of confusion and speaks plainly on regulatory burdens.  I find that their webinars are jammed full with useful, although sometimes painful, information.

Reg E and Remittances.  The Fed just released a proposal to deal with  remittances.  In short...

The Federal Reserve Board on Thursday requested public comment on a proposed rule that would create new protections for consumers who send remittance transfers to recipients located in a foreign country.

The proposed rule would require that remittance transfer providers make certain disclosures to senders of remittance transfers, including information about fees and the exchange rate, as applicable, and the amount of currency to be received by the recipient. In addition, the proposed rule would provide error resolution and cancellation rights for senders of remittance transfers.

The proposal is being made under Regulation E (Electronic Fund Transfers) pursuant to the Dodd-Frank Wall Street Reform and Consumer Protection Act.

We'll have a 60-day comment period once this is published in the Federal Register.

CFPB.  Here is a possibly-overlooked component of the CFPB.  Its research arm. The CFPB just wrote a bit about this division and what it will do.   Here are some snippets from the post:

The CFPB is building an Office of Research to support its commitment to evidence-based policymaking. The research office will produce new findings that deepen our understanding of the problems that consumers, firms, and markets encounter. It will also help the CFPB conduct rigorous policy evaluations, which in turn will help maximize our effectiveness in addressing these problems and minimize unintended consequences...

Under Sendhil’s leadership, the Office of Research will conduct research on a variety of topics and, in many cases, publish findings under the consumer bureau’s name. Frequently, though, researchers will choose their own topics, data, and methodology themselves, draw their own conclusions, and publish in their own names.

I'll leave you to your own conclusions.