On March 27, 2020, President Trump enacted a historic stimulus package, the CARES Act, which contains a number of provisions of interest to the financial services industry. This alert provides an overview of the financial services-related provisions of the new
MoFo ReEnforcement: The Enforcement Blog
MoFo ReEnforcement: The Enforcement Blog, published by Morrison & Foerster LLP, focuses on regulatory enforcement and compliance issues affecting financial institutions, fintech companies, and corporate entities. The blog covers topics such as anti-money laundering regulations, beneficial ownership reporting, consumer financial protection, credit market oversight, small business lending data collection, and due diligence practices for fintech partnerships. It also addresses developments in federal banking regulations, national security policy related to technology, and legislative changes impacting enforcement standards. The blog provides updates on rulemakings, regulatory guidance, and enforcement trends relevant to practitioners and stakeholders in financial services and corporate compliance.
Latest from MoFo ReEnforcement: The Enforcement Blog - Page 5
Patchwork of Coronavirus (COVID-19) Mortgage and Rent Forbearance Efforts Creates Challenges for Mortgage Lenders and Servicers
As consumers and business face ever-worsening financial conditions in the wake of the COVID-19 pandemic, federal agencies and some states and localities have stepped in to provide foreclosure and eviction relief. Not surprisingly, the approaches to providing this relief vary…
Scope of Agent of a Payee Exemption in California Appears Poised for Expansion
By Sean Ruff & Adam Fleisher
The California Department of Business Oversight (DBO) has finally released a much-anticipated draft rulemaking relating to the scope of the “agent of a payee” exemption under the California Money Transmission Act. The DBO’s rulemaking appears to affirm a broader interpretation…
Federal Reserve Issues Final Rule on Control Regulations
On January 30, 2020, the Board of Governors of the Federal Reserve System approved a final rule (the Final Rule) revising the regulations related to the determination of “control” of banks under the Bank Holding Company Act (BHC Act) and…
Are You a Money Transmitter in South Dakota or Delaware?
One of the defining aspects of the payments revolution of the past few years—at least from a regulatory perspective — has been the question of whether a particular payments service is subject to regulation as money transmission. A recent trend…
FDIC Publishes Brokered Deposits Proposed Rule
On February 10, 2020, the Federal Deposit Insurance Corporation (FDIC) published a proposed rule intended to modernize the regulatory treatment of brokered deposits (Proposed Rule). The Proposed Rule would amend 12 C.F.R. parts 303 and 337 to set forth the…
Agencies Propose Amendments to Volcker Rule Covered Fund Provisions
On January 30, 2020, five federal agencies proposed amendments to the Volcker Rule related to the prohibition on investing, sponsoring, and having certain relationships with covered funds (the “Proposed Funds Rule”). The Proposed Funds Rule comes on the heels of…
CFPB Takes a Step Away from “You Know It When You See It” Standard for UDAAP Abusiveness
By Nancy Thomas & Elyse Moyer
On February 6, 2020, the Consumer Financial Protection Bureau published a Statement of Policy Regarding Prohibition on Abusive Acts or Practices to “convey and foster greater certainty” regarding how it will apply the “abusiveness” standard in exercising its sweeping UDAAP…
Attorneys General Push Against OCC’s Attempts to Codify “Valid When Made” Rule
On January 21, 2020, twenty-two State Attorneys General and the Hawaii Office of Consumer Protection submitted a comment letter to the Office of the Comptroller of the Currency in opposition to its proposed rulemaking to resolve the “confusion” stemming from the Second…
California Regulator Reiterates that Credit Sales Cannot be Used to Evade Financing Law
By Sean Ruff, Nancy Thomas & Calvin Funk
In two recent actions, the California Department of Business Oversight (DBO) addressed whether companies that purchase retail installment contracts should be considered bona fide purchasers of credit sales or whether those transactions should be considered loans subject to the California…