Weekly Fintech Focus

  • The Federal Reserve seeks comment on new guidelines for Fed Regional Banks to consider when deciding whether to extend Fed membership or services to nontraditionally chartered entities.
  • California DFPI enters a settlement with a fintech company to stop the use of the word “bank” in its name, website URL, and advertising, and requires clear disclosure of the fintech’s bank partnership.

Continue Reading Fintech Week in Review: Week of May 7, 2021

Weekly Fintech Focus

  • FDIC discusses its fair lending activities in the most recent edition of its Consumer Compliance Supervisory Highlights.
  • US and EU engage in a joint regulatory forum to discuss international coordination on financial regulation and operational resiliency.
  • BCBS publishes its principles for operational resilience for banks, including a focus on third-party outsourcing relationships with financial technology companies.
  • Financial regulators seek comment on model risk management guidance.
  • CSBS seeks comment on a revamp of the nationwide licensing system.

Continue Reading Fintech Week in Review: Week of April 16, 2021

Weekly Fintech Focus

  • Federal financial regulators issue an RFI to better understand financial institution usage of AI models and its implications on current regulations.
  • CFPB rescinds policy statements that provided regulatory flexibility in response to pandemic challenges.
  • National Futures Association issues regulatory outsourcing guidance.
  • Lina Kahn announced as nominee for FTC commissioner position.
  • FinCEN Director meets with a number of groups to discuss SAR filing.
  • Prepared Remarks of FinCEN Director delivered at the Florida International Bankers Association AML Compliance Conference
  • CFPB faced many more consumer complaints in 2020 than in the past.
  • CSBS working with a number of states to develop a single fintech exam.
  • An earned wage access company settled allegations of its services causing bank overdraft and insufficient fund fees.
  • The UK FCA issues a feedback statement on open finance.

Continue Reading Fintech Week in Review: Week of April 2, 2021

Weekly Fintech Focus

  • In response to pandemic challenges, card networks agree to delay merchant fee hikes that would have taken place next month.
  • E-commerce activities continue to grow and are projected to reach $1 trillion in revenue by next year.
  • The BIS publishes a paper urging a global rethink on how to regulate big tech companies engaged in financial services to address systemic risk.
  • Fintech trade groups launch to address issues like financial inclusion and regulatory approaches to fintech engagement in the financial services industry.
  • Regulators issue the first enforcement action directly referencing a bank’s role in serving marijuana-related business customers.

Continue Reading Fintech Week in Review: Week of March 19, 2021

Weekly Fintech Focus

  • The CFPB issued an interpretive rule clarifying that sexual orientation and gender identity are protected classes under ECOA’s prohibition against sex discrimination.
  • The CFPB rescinded a policy statement issued last year that limited the CFPB’s enforcement efforts related to the abusiveness standard under UDAAP.

Continue Reading Fintech Week in Review: Week of March 12, 2021

Weekly Fintech Focus

  • The California DFPI issued new opinions on the scope of its money transmission laws, including the agent of the payee exemption, addressing virtual currency transactions, and pay-in/pay-out scenarios related to gaming.
  • Rohit Chopra, the nominee for the CFPB Director position, answered questions at his confirmation hearing.

Continue Reading Fintech Week in Review: Week of March 5, 2021

Weekly Fintech Focus

  • The FDIC appoints its first chief innovation officer.
  • The OCC issues a final rule to clarify the role of supervisory guidance.
  • The Biden CFPB issues its first enforcement action, alleging abusive and deceptive practices against an immigration bond company.
  • FATF is moving forward with issuing updated guidance on virtual assets and risk-based supervisory approaches.

Continue Reading Fintech Week in Review: Week of February 26, 2021

Weekly Fintech Focus

  • The UK published a report calling for the urgent regulation of BNPL products.
  • The OCC postponed publication of the Fair Access to Financial Services rule.
  • The Acting Director of the CFPB is putting a renewed emphasis on issues of racial equity with a push to enforce fair lending violations.
  • The new administration will take a fresh look at the recently finalized FHA disparate impact rule.
  • The Federal Reserve announced that its FedNow RTP service will be launched sooner than expected.

Continue Reading Fintech Week in Review: Week of February 5, 2021