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The curriculum for NAFCU’s Regulatory Compliance School follows the NAFCU’s GPS Manual.  The table of contents for the GPS Manual contains the listing of chapters and discussion topics.  The table of contents can be found here.

Note:  The content and structure of the School may be altered as the GPS Manual is updated to reflect the current regulatory environment. 

Below is a sample of the topics to be discussed during each session. 

March 12

Anatomy of a Federal Credit Union

• The Federal Credit Union Act
• National Credit Union Share Insurance Fund
• The Organization and Structure of a Credit Union

Special Credit Union Issues 

• An Overview of Credit Union Bylaws
• Field of Membership Issues
• Expulsion and Limitation on Services
• Service to Nonmembers
• Credit Union Incidental Powers
• Preemption Issues

Introduction to NCUA; NCUA Regulation and Guidance; NCUA Supervision and Examination 

• An Overview of the Structure and Powers of NCUA
• History and Major Provisions of the Federal Credit Union Act
• The Organization of NCUA Regulations
• The Legislative Process
• Notice and Comment Rulemaking Process and the Anatomy of a Regulation
• Overview of Risks; CAMEL Ratings; NCUA Examination Process

Consumer Financial Protection Bureau 

• The Organization and Scope of the CFPB
• Offices Within the CFPB
• Enumerated Consumer Financial Laws and Regulations
• The CFPB’s Examination and Supervision Powers
• The CFPB’s Powers to Regulate Non-Depository Institutions
• Learning How to Track CFPB Regulations and Guidance

March 13

Regulation D 

• Reserve Requirements
• Transaction Accounts
• Transactions Limitations for Savings Accounts
• Share Certificates and Early Withdrawal Penalties

Regulation E

• Disclosures Required under Reg E
• ATM Fee Disclosure Requirements
• Timeline for Notification of Unauthorized Transactions
• Reg E’s Error Resolution Process
• Opt-In Requirement for Overdraft Fees (One-time Debit and ATM Transactions )

Share Insurance 

• Single Ownership Accounts (Individual)
• Joint Ownership Accounts
• Revocable Trust Accounts
• Business Accounts
• Executor; Administrator; Guardian and Custodian Account Coverage
• Unlimited Share Insurance for Non-Interest Bearing Transaction Accounts
• Credit Union Mergers and Failures

Regulation CC

• General Funds Availability Timing Discussion
• Next-Day Availability Requirements
• Exception Holds and Hold Notices
• Funds Availability Disclosure Requirements
• Substitute Checks

Uniform Commercial Code (Articles 3 & 4) 

• Negotiable Checks Overview
• Checks Payable to Multiple Parties
• Official Checks
• Stop Payments

Truth in Savings 

• General Disclosure Requirements
• Delivery of Account Opening Disclosures
• Change in Terms Notices
• Share Certificate Maturity Notices
• Advertising Requirements – Including “Free Checking”
• Trigger Terms and Additional Disclosure Requirements
• Advertising Bonuses
• Requirement for Total Fees on Periodic Statement

IRS Reporting Requirements 

• Obtaining TINs from Members
• Form W-8BEN and Backup Withholding
• 1099-INT and 1099-MISC Reporting Requirements
• Cancellation of Debt Requirements
• Reporting Mortgage Interest and Student Loan Interest

E-SIGN Act 

• An Overview of the E-SIGN Act
• The Opt-In Nature of Electronic Disclosures
• Pre-Consent Disclosures
• The Need for Electronic Consent
• Reasonably Demonstrate Ability to Access Electronic Documents
• Scope of a Member’s E-SIGN Consent

March 14

Compliance and the Role of the Compliance Officer 

• What is Compliance?
• Compliance Risks
• External Sources for Risk Management
• Various Roles of Compliance at Credit Unions
• The Role of a Compliance Officer
• Traits of a Good Compliance Officer

How to Conduct Research 

• Framing the Compliance Question
• The Importance of Citations and Source Documents
• Regulations vs. Guidance
• Organizing Research Results
• Popular Compliance Resources and Automatic Notifications

Dealing with Outside Counsel 

• Why do Credit Unions Use Outside Counsel?
• Considerations Before Hiring Outside Counsel
• Selecting Outside Counsel
• Managing the Relationship with Outside Counsel

How to Write Effectively

• The I.R.A.C Writing Method
• Issues; Rules; Analysis; and Conclusion
• Writing to your Audience
• Writing Concisely and in Plain English
• Managing Expectations

Writing Policies and Procedures 

• Why Do We Create Policies and Procedures?
• Regulatory Requirements
• Risk Mitigation
• NCUA’s Expectations

Regulation B 

• What is an Application?
• Inquiries vs. Applications
• Adverse Action Notices
• Discrimination on a Prohibited Basis
• Collection of Information for Monitoring Purposes

Fair Lending

• NCUA’s Non-Discrimination in Real Estate Regulation
• NCUA’s Credit Practices Rule
• Fair Lending Laws
  • General Lending Discrimination
  • Types of Lending Discrimination
• Lending to Servicemembers
• Fair Debt Collection Practices Act

Regulation C 

• Who Must Report
• Compilation of Loan Data
• Reporting Format
• Disclosures

The Fair Credit Reporting Act 

• Obtaining Consumer Reports
• Sharing Information from Credit Reports
• Disclosures to Consumers
• Adverse Action Disclosures
• Duties of Users of Consumer Reports
• Duties of Furnishers of Consumer Report Information

Identity Theft Red Flags 

• Red Flags
  • Covered Accounts
  • Elements of the Red Flags Program
  • Guidelines of Appendix J
• Duties of Card Issuers Regarding Changes of Address
• Notice of Address Discrepancy

March 15

NCUA Lending Requirements 

• Maturity Limits
• The Usury Ceiling
• Preemption
• 10 Percent Limitation
• Compensation and Lending
• NCUA’s Loan Participation Rule
• NCUA’s Member Business Lending Regulation

Regulation Z 

• Finance Charges
• Open-end vs. Closed-end credit
• Open-End Credit Requirements
• Open-End Advertising
• Closed-End Credit Requirements
• Closed-End Advertising
• Special Rules for Credit Cards
• Special Closed-End Mortgage Rules

The Real Estate Settlement Procedures Act 

• Coverage
• Good Faith Estimate – Requirements and Form Content
• Prohibition against Kickbacks and Unearned Fees
• Escrow Accounts
• Mortgage Servicing Disclosures

Loans in Flood Hazard Areas and the Homeowners Protection Act 

• Loans in Flood Hazard Areas
  • General  Requirements
  • Standard Flood Hazard Determination Form
  • Notice to Borrower
  • Borrower Relief
  • Forced Placement of Insurance
  • Escrow Requirement
• Homeowners Protection Act
• Coverage
• PMI Cancellation
• PMI Termination
• High Risk Loans
• Disclosure Requirements

Article 9 of the UCC 

• Overview of the UCC
• Overview of Article 9
• Basic Framework

Appraisals 

• NCUA’s Appraisal Regulation
  • Transactions Requiring an Appraisal
  • Property Valuations
  • Appraiser Independence
• Interagency Appraisal and Evaluation Guidelines
• Regulation Z and Appraisals
• Secondary Market Concerns

March 16

NCUA’s Security Regulation 

• Written Security Program
• Filing of Reports
• Catastrophic Act Reports and Business Continuity Planning
• Response Programs for Unauthorized Access to Member Information
  • Components of  a Response Program
  • Member Notification

Privacy 

• Key Provisions of the Privacy Rule
• Key Terms
• Basic Requirements
  • Delivery of Privacy Notices
  • Initial and Annual Notices
  • Providing Opt-Out Notices
  • Providing a Reasonable Opportunity to Opt-Out
  • Joint Accounts
  • Exceptions to Privacy Requirements
• Affiliate Marketing
  • Coverage
  • Eligibility Information
  • Sharing Databases and the Use of Service Providers
  • Exceptions
  • Notice Requirements
  • Constructive Sharing
• Children’s Online Privacy Protection Act
  • General Requirements
  • Key Definitions
  • Notice on the Website
  • Notice to Parents
• Right to Financial Privacy Act
• Notice and Certification Requirements
• Exceptions
• Cost Reimbursement

The Bank Secrecy Act and OFAC 

• Bank Secrecy Act
  • The Patriot Act and Regulations
  • The FFIEC BSA/Anti-Money Laundering Examination Manual
  • BSA Compliance Program and Risk Assessment
  • Currency Transaction Reports and Exemptions
  • Suspicious Activity Reports
  • Information Sharing
  • Recordkeeping
• OFAC
• OFAC Program

Record Retention 

• Why Do We Keep Records?
• Sources of Recordkeeping Requirements
• Research Tools and Recordkeeping Suggestions