Legal Briefs

National Credit Union Administration (NCUA)

The NCUA released the agenda items for the Sept. 20, 2012, board meeting. The board will explore proposed rules around potentially adding Treasury Inflation Protected Securities to permissible investments, expanding the definition of a small credit union, and expanding the definition of “rural district” for field-of-membership (FOM) purposes, as well as looking into an ANPR making changes to the payday-alternative loans.

The NCUA released Legal Opinion Letter OL 12-0764. The letter reviews the definition of “fleet” as it relates to member business lending (MBL) collateral and security requirements. According to the revised definition, “a fleet is five or more vehicles that are centrally controlled and used for a business purpose, including the purpose of transporting persons or property for commission or hire.”

Office of Foreign Assets Control (OFAC)

The OFAC SDN list was updated again. Last update: Sept. 13, 2012.

Federal Financial Institutions Examination Council (FFIEC)

FFIEC announced the availability of 2011 Home Mortgage Disclosure Act (HMDA) data. The data includes disclosure statements for each financial institution, aggregate data for each metropolitan statistical area and statics regarding lending patterns.

Office of the Comptroller of the Currency (OCC)

While it does not apply to credit unions, the OCC released guidance OCC 2012-27. The release provides supervisory guidance on credit risk management practices for investor-owned, one-to-four-family residential real estate lending where the primary repayment source for the loan is rental income.

Washington Division of Credit Unions (DCU)

The DCU release DCU Bulletin B-12-03, which discusses the opportunity for Washington credit unions to participate in the Investor Education In Your Workplace® (IEiYW®) program. The IEiYW® program is an award-winning 10-hour online financial and investment education program designed for credit union employees.

Washington Department of Financial Institutions (DFI)

The DFI released a consumer protection alert about the Top Investment Traps in Washington. The alert covers both new upcoming threats and other persistent threats.

Financial Crimes Enforcement Network (FinCEN)

FinCEN released Administrative Ruling FIN-2012-R006 regarding participation in the 314(b) Program. FinCEN reviews the safe harbor provided to an association of financial institutions and determined that the protections would apply to a LLC whose membership is compromised entirely of financial institutions.


Questions? Contact the Compliance Hotline: 1.800.546.4465,

Posted in Advocacy News, Compliance News, GoWest Solutions, Industry Insight, NCUA.