Proposed Regulations

Recently, the National Credit Union Administration (NCUA) issued a proposed rule requiring the proper disposal of consumer information in accordance with the Fair Credit Reporting Act, as amended by the Fair and Accurate Credit Transactions Act.

The proposal would add a model form to Regulation V that financial institutions may use to comply with the notice requirement relating to furnishing negative information contained in sectio n 217 of the Fair and Accurate Credit Transactions Act of 2003 (FACT Act).

Recently, the Federal Reserve Board issued for public comment an advance notice of proposed rulemaking (ANPR) concerning open-end credit rules (Regulation Z). The ANPR solicits public comments on how the Board should implement amendments to TILA made by the Bankruptcy Abuse Prevention and Consumer Protection Act of 2005. The amendments deal mostly with open-end credit accounts and require new disclosures on periodic statements and on credit card applications and solicitations.

The Financial Accounting Standards Board has issued an exposure draft relative to the accounting treatment of business combinations, including combinations between credit unions.

On March 27, 2007, the National Credit Union Administration (NCUA) published a proposed rule related to federally insured credit unions' obligation to maintain a records preservation program. The proposed rule amends Parts 748 and 749 of the NCUA's Rules and Regulations.

On November 22, 2006, the National Credit Union Administration (NCUA) issued an interim final rule on share insurance appeals and clarification of NCUA Board's enforcement authority. The interim final rule implements amendments to the Federal Credit Union Act made by the Financial Services Regulatory Relief Act of 2006 (Reg Relief Act).

Recently, the Financial Crimes Enforcement Network (FinCEN) and the Federal Reserve Board (Board) (collectively, the Agencies) jointly issued for public comment an advance notice of proposed rulemaking (ANPR) concerning the threshold for the requirement to collect, retain, and transmit information on funds transfers and transmittals of funds in amounts of $3,000 or more.

Recently, the National Credit Union Administration (NCUA), along with the federal banking regulators (the Agencies), issued proposed interagency guidance on nontraditional mortgage loan products to assist financial institutions in ensuring that their risk management and consumer protection practices adequately address the risks associated with their credit activities.

Recently, the Department of the Treasury and the Board of Governors of the Federal Reserve System issued a proposed joint rule to implement the Unlawful Internet Gambling Enforcement Act of 2006 (the Act). The Act prohibits gambling businesses from accepting payments in connection with unlawful Internet gambling.

Today, the National Credit Union Administration (NCUA), published in the Federal Register for public comment proposed amendments to its chartering and field of membership manual to revise and update its community chartering policies. The proposed changes would clarify the documentation requirements for the “local community” standard and add a public notice and comment procedure for certain types of community charter applications involving multiple political jurisdictions.

National Credit Union Administration (NCUA), along with the other financial regulators (the Agencies), issued for public comment a proposed Statement on Subprime Mortgage Lending. The proposal addresses emerging issues and questions relating to certain subprime mortgage lending practices, including certain adjustable-rate mortgage (ARM) lending products.

Recently, the National Credit Union Administration (NCUA) issued for public comment an advance notice of proposed rulemaking (ANPR) regarding mergers, conversions from credit union charter, and account insurance termination. See 12 CFR Parts 708a and 708b.

The NCUA Board recently approved an interim final rule amending its regulation that implements the Truth in Savings Act (TISA). This interim final rule establishes uniform standards for the electronic delivery of disclosures required by TISA and is substantially similar to the Federal Reserve Board’s recent interim final rule amending Regulation DD.

On April 19, 2001, the National Credit Union Administration (NCUA) approved a proposed rule that would revise NCUA’s regulations on nondiscrimination in advertising. The proposed rule is similar to the Federal Deposit Insurance Company’s rule and would give credit unions greater flexibility in giving notice of nondiscrimination.

The Federal Reserve Board has issued interim final rules establishing standards for the electronic delivery of disclosures under Regulations B (Equal Credit Opportunity), E (Electronic Fund Transfers), M (Consumer Leasing), Z (Truth in Lending), and DD (Truth in Savings). Under the rules, financial institutions, creditors, lessors, and others may deliver disclosures electronically if they obtain consumers' consent in accordance with the Electronic Signatures in Global and National Commerce Act (the "E-Sign Act").

On March 8, 2001, the National Credit Union Administration (NCUA) approved a proposed rule on regulatory flexibility (RegFlex). This rule would permit credit unions with advanced levels of net worth and consistently strong examination ratings to be exempt, in whole or in part, from certain NCUA regulations.

On February 15, 2001, the National Credit Union Administration (NCUA) approved a proposed rule to amend Part 712, the credit union service organization (CUSO) regulation. The proposal clarifies that the list of activities currently in the rule is illustrative and adds a provision encouraging federal credit unions to seek an advisory opinion on whether a proposed activity is authorized.

On February 15, 2001, the National Credit Union Administration (NCUA) approved a proposed rule to amend Part 749, NCUA’s rule on vital records preservation. The proposal converts the regulation into a question-and-answer format and clarifies that records may be preserved in electronic form.