Weekly Fintech Focus

  • FDIC issues an updated brokered deposit rule, creating new exceptions relevant to fintechs working with bank partners.
  • FDIC issues a final rule clarifying its expectations for ILC charter applications.
  • CFPB issues an advisory opinion on Special Purpose Credit Programs to clarify how creditors can offer these programs to disadvantaged groups.
  • CFPB grants access to its compliance assistance sandbox to an earned wage access company, which meets the CFPB’s recent guidance on such programs.
  • PayPal wins the first round in its efforts to throw out aspects of the CFPB’s prepaid rule, resulting in a court throwing out certain mandatory disclosures and the 30-day waiting period for digital wallets.
  • New York enacts second-in-nation law requiring disclosures for commercial purpose loans.
  • The CSBS goes to court again to stop the OCC from issuing a charter to a fintech company.


Continue Reading Fintech Week in Review: Week of January 8, 2021

Weekly Fintech Focus

  • The CFPB issues an ANPR to engage in a rulemaking process on consumer access to financial records under Section 1033 of Dodd-Frank.
  • NYDFS expects regulated financial institutions to assess climate change risks.
  • Federal banking regulators look to codify that supervisory guidance is not binding.
  • The OCC issues its “true lender” final rule.
  • The effective date of the recent HUD disparate impact rule is enjoined by district court.
  • Senate Democrats introduce a bill to prohibit discrimination under the Civil Rights Act of 1964 for banks and other financial institutions.
  • Quarles discusses the FSB’s growing concern with nonbanks in light of their interconnectedness with the financial system and vulnerabilities manifested during the pandemic.
  • The FDIC finds a shrinking unbanked population and encourages further innovation in banking technologies to create a more inclusive banking system.
  • Digital bank, its API provider, and its licensed bank settles claims related to system service outage.
  • SoFi obtains conditional approval for its national bank charter.


Continue Reading Fintech Week in Review: Week of October 23 and October 30, 2020

Weekly Fintech Focus

  • California passes a new law to help cannabis businesses and their service providers access financial services.
  • NY DFS calls for designating certain social media companies as systemically important to impose cybersecurity regulations.
  • The European Central Bank issues a new report about moving forward with development of the digital euro.


Continue Reading Fintech Week in Review: Week of October 9 and October 16, 2020

Weekly Fintech Focus

  • FinCEN and OFAC issue advisories on handling ransomware attacks, putting victims and those who help victims pay cybercriminals on notice that ransomware payments are risky and could result in violations of U.S. financial and sanctions laws.
  • California signs into law its new consumer protection law, creating an expanded agency and giving it new enforcement and licensing powers.


Continue Reading Fintech Week in Review: Week of October 2, 2020

Weekly Fintech Focus

  • OCC releases Interpretative Letter that clarifies national banks’ and federal saving associations’ ability to hold certain stablecoins as reserves in a hosted wallet.
  • California DBO awards grants for financial education and empowerment programs.


Continue Reading Fintech Week in Review: Week of September 25, 2020

Weekly Fintech Focus

  • FinCEN issues final rule that implements certain AML requirements on banks that lack a federal functional regulator.
  • FinCEN seeks public comment on AML Program requirements.
  • State regulators announce the “One Company, One Exam” for licensed payment firms.
  • The CFPB published its SBREFA outline for the upcoming small business loan data rule.


Continue Reading Fintech Week in Review: Week of September 18, 2020

Weekly Fintech Focus

  • HUD finalizes fair lending rule that clarifies disparate impact claims, but leaves out controversial defenses for algorithms.
  • California’s DBO to receive a new name and new oversight powers.
  • CFPB will host its first Tech Sprint in October, focused on adverse action notices.


Continue Reading Fintech Week in Review: Week of September 11, 2020

Weekly Fintech Focus

  • The CFPB settles with two remittance transfer providers for EFTA and remittance transfer rule violations.
  • The CFPB reports early impact of the COVID-19 pandemic on consumer credit.
  • FinCEN releases statement in advance of media outlets intent to publish articles based on unlawfully disclosure SARs.
  • The FTC seeks comments on 5 rules that implement the FCRA.


Continue Reading Fintech Week in Review: Week of September 4, 2020

The COVID-19 pandemic and resulting economic effects have accelerated the speed of change in the financial services industry. The need for optimization and acceleration of digital adoption requires urgency and more than just an organic approach to growth and innovation.

To succeed in the current environment, financial institutions, fintech companies, and technology companies must coevolve.

Weekly Fintech Focus

  • The CFPB orders a bank to pay over $100 million to resolve a pattern of violations of EFTA, UDAAP, and FCRA related to the bank’s overdraft services.
  • The CFPB issues an RFI seeking information about the effect of the CARD Act on small entities.
  • FinCEN provides clarification about bank customer due diligence flexibility for onboarding and servicing PEP customers.
  • The CFPB is still on track to issue its small business data rule outline of proposals in September.
  • The OCC clarifies how credit card issuers choose which state’s interest rate can be used with its credit cards based on where the bank makes the loan.


Continue Reading Fintech Week in Review: Week of August 28, 2020