Regulatory News

Supervision, Regulation, and Credit: Regulatory News

Updated 1/13/2021

Regulatory News makes current information from the Supervision, Regulation, and Credit Division easily accessible.

  • Recent News

    Fed Affirms Capital Buffer at Current Level
    The Federal Reserve Board has voted to affirm the Countercyclical Capital Buffer at the current level of 0 percent, following the framework detailed in the Board's policy statement.

    Second Round of Bank Stress Test Results Released
    The Federal Reserve Board released a second round of bank stress test results, which showed that large banks had strong capital levels under two separate hypothetical recessions.

    Agencies Propose Requirement for Computer Security Incident Notification
    Regulators have announced a proposal that would require supervised banking organizations to promptly notify their primary federal regulator in the event of a computer security incident.

    CRA Asset-Size Threshold Adjustment Released
    Regulators have announced the annual adjustment to the asset-size thresholds used to define small bank and intermediate small bank under the Community Reinvestment Act regulations.

    Federal Reserve Joins Climate Risk Management Network
    The Federal Reserve announced that it has formally joined the Network of Central Banks and Supervisors for Greening the Financial System.

    Agencies Announce Several Resolution Plan Actions
    Regulators have announced several resolution plan actions, which describe a strategy for resolution in bankruptcy in the event of a company's material financial distress or failure.

    Fed Announces Annual Indexing for 2021
    The Federal Reserve announced the annual indexing of the reserve requirement exemption amount and the low reserve tranche, which are required by statute but will not affect depository institutions' reserve requirements.

    Fed Announces Advisory Committee Members
    The Federal Reserve Board announced seven members, including three new members, of its Insurance Policy Advisory Committee, who will serve three-year terms beginning in 2021.

  • Guidance

    Regulators Issue Principles for Offering Small-Dollar Loans
    To encourage supervised banks, savings associations, and credit unions to offer responsible small-dollar loans to customers for consumer and small business purposes, regulators have issued principles for offering these loans responsibly to meet financial institutions customers' short-term credit needs.

    Regulators Approve Statement on Credit Loss Allowances, Finalize Guidance on Risk Reviews
    On May 8, 2020, four federal financial regulatory agencies released a policy statement on allowances for credit losses. The statement will promote consistency in the interpretation and application of the Financial Accounting Standards Board's credit losses accounting standard, which introduces the current expected credit losses (CECL) methodology. The agencies also finalized interagency guidance on credit risk review systems. The guidance presents principles for establishing a system of independent, ongoing credit risk review in accordance with safety and soundness standards.

    The Use of Alternative Data in Consumer Credit Underwriting
    On December 3, the Federal Reserve, the Consumer Financial Protection Bureau, the Federal Deposit Insurance Corporation, the Office of the Comptroller of the Currency, and the National Credit Union Administration released a statement on the use of alternative data in credit underwriting.

    Federal Agencies and State Bank Supervisors Clarify Requirements for Providing Financial Services to Hemp-Related Businesses
    On December 3, the Federal Reserve, the Federal Deposit Insurance Corporation, the Office of the Comptroller of the Currency, the Financial Crimes Enforcement Network (FinCen), and the Conference of State Bank Supervisors issued guidance clarifying the legal status of hemp growth and production and the implications for Bank Secrecy Act compliance.

    Interagency Statement on Risk-Focused Approach to Bank Secrecy and Anti-Money Laundering Supervision
    On July 22, 2019, an interagency working group, including the Federal Reserve, the Federal Deposit Insurance Corporation, the National Credit Union Administration, the Office of the Comptroller of the Currency, and the U.S. Treasury’s Financial Crimes Enforcement Network released a statement on their risk-focused approach to Bank Secrecy Act (BSA)/anti-money laundering (AML) supervision.

    Information Provided on Risk-Focused Supervision Program
    The Board of Governors issued Supervision and Regulation letter SR 19-9, about the Bank Exams Tailored to Risk (BETR) program, on June 3. The letter describes a key aspect of the Federal Reserve's risk-focused supervision program for most community and regional state member banks (SMBs) with less than $100 billion in assets.

    Interagency Statement on the Role of Supervisory Guidance in Examination
    On September 12, 2018, the Agencies issued a statement reaffirming the role of supervisory guidance in examinations. This information was distributed in SR 18-5, which explains the differences between supervisory guidance and laws and regulations.

  • Requests for Comment

    Federal Reserve Board issues Advance Notice of Proposed Rulemaking on an approach to modernize regulations that implement the Community Reinvestment Act
    The Federal Reserve Board is requesting public comment on an approach to modernize the regulations that implement the Community Reinvestment Act (CRA) by strengthening, clarifying, and tailoring them to reflect the current bank landscape and better meet the core purpose of the CRA.

  • Tools

    U.S. Commercial Real Estate (CRE) Momentum Index
    Commercial Real Estate (CRE) Momentum Index
    This interactive market analysis tool combines economic and real estate market data for more than 300 metro areas to provide insight into the momentum of change in CRE markets across the country. It enables users to identify trends and assess market risks for the four major property sectors—apartment, office, retail, and industrial.
    illustration of a series of townhomes inset with a jagged bar chart with a dashed line
    Home Ownership Affordability Monitor
    This tool tracks the relative changes in home ownership affordability at a higher frequency and more granular level of geography than other current housing tools. It measures the ability of a median-income household to absorb the estimated annual costs associated with owning a median-priced home.