Legal Briefs August 2, 2010



The United States Congress approved HR 5502The bill extends the effective date of the Gift Card Rules to January 31, 2011 for gift cards produced prior to April 01, 2010.


Federal Reserve Board

The SAFE Act was published in the Federal register.  While the final rule is effective October 1, 2010, the requirement for registration will not be until 180 days after public notification that the registry is accepting initial registrations.  The registry may be open as early as January 28, 2011.


National Credit Union Administration

The NCUA issued Regulatory Alert Letter 10-RA-09 to provide guidance on Filing SARs on Home Equity Conversion Mortgage Fraud Schemes.

The NCUA issued Regulatory Alert Letter 10-RA-10 to warn of the potential risks of property assessed clean energy loans.  Washington State does not currently provide for superpriorty for green loans.

With the passage of the Dodd-Frank Wall Street Reform and Consumer Protection Act, the NCUSIF will be permanently raised to $250,000The previous temporary increase was set to expire on December 31, 2013.  You may wish to double check to make sure you no longer have any of the old $100,000 signs up.  The temporary signs are now permanent.

The NCUA released the third DVD on the corporate credit union system.  The third DVD outlines the steps that the NCUA has taken to help stabilize the corporate credit union system.

The NCUA released the results for the July 29, 2010 NCUA Board meeting.  The results include that the NCUA will reduce their 2010 budget by $2 million, an interim final rule that clarifies provisions for Truth in Savings, a proposed rule to curtail golden parachute and indemnification payments primarily for insolvent credit unions, interim final rule clarifying low-income member definition, and the NCUSIF report.


Financial Crimes Enforcement Network

The FinCEN released advisors FIN-2010-A009 and FIN-2010-A010 to inform financial institutions of the risks associated with certain jurisdictions as deficiencies in AML.

The FinCEN released a report on the SAR’s related to Mortgage Fraud in 2009.  The study shows that the number of SAR’s filed for mortgage fraud increased in 2009 when compared to 2008.

The FinCEN released a new toll free number and e-mail address for BSA E-Filing Service Desk.  The new number is 866-346-9478 (Option 1) and the e-mail address is



The FFIEC has published new nationwide census data.  This data is used as input to HMDA/CRA reporting.



The SEC has established a public comment page for gathering comments on proposed SEC regulatory initiatives under the Dodd-Frank Financial Reform Act.  Currently there are 31 comment forms for different proposed changes.

Posted in NCUA.