Interagency Advisory Addresses Appraisals; FinCEN Updates CTR

Advisory focuses on two options to confront appraiser shortages; FinCEN makes changes to Currency Transaction Report.

Interagency Advisory Addresses Appraiser Shortages

The NCUA and other federal banking regulators released an Interagency Advisory to address concerns regarding the timeliness of appraisals due to possible issues with availability of state certified and licensed appraisers, particularly in rural areas. The advisory highlights two existing options that may address appraiser shortages: temporary practice permits and temporary waivers.

Temporary practice permits are subject to limitations of state law, but would allow state certified or licensed appraisers to provide their services in states where they are not certified or licensed. The appraisers would need to apply to the relevant state appraiser regulatory agency for a temporary practice permit.

The Appraisal Subcommittee (ASC), with the approval of the FFIEC, may grant temporary waivers of any requirement relating to certification or licensing of individuals to perform appraisals in geographic subdivisions of states where there is a shortage of appraisers. Temporary waivers may be granted when it is determined that there is a scarcity of state-certified or licensed appraisers leading to significant delays in obtaining an appraisal.

FinCEN Updates Currency Transcation Report (CTR)

FinCEN will be adding new and updated data fields to the online discrete CTR as well as the CTR batch files. The new or updated data fields include:

Part I Person Involved in Transaction

  • Renamed Item 2d from “Courier Service (private)” to “Common carrier”

Part II Amount and Type of Transaction

  • Added a checkbox to Item 24 to reflect “Shared Branching”

Part III Transaction Location

  • Added an Unknown option to Item 29, Primary Federal Regulator
  • Added an Unknown checkbox to Item 32, EIN
  • Added Item 37, Country
  • Added Item 41, Cash in amount for transaction location
  • Added Item 42, Cash out amount for transaction location

Part IV Filing Institution Contact Information

  • Added new Part IV “Filing Institution Contact Information” section to collect data about the institution that filed the CTR

Batch filers will be required to submit the updated CTR data in an XML-based file, rather than the current ASCII-based fixed-length delimited file. You can download the XML User Guide at

FinCEN Currency Transaction Report (CTR) Electronic Filing Requirements for XML, and find more information here.

FinCEN will host a technical webinar on June 21, 2017, to provide an overview of the XML specifications and address any questions regarding the XML User Guide. Application developers and programmers are urged to register and attend this webinar. You can register for the webinar here.

After registering, you will receive a confirmation email with information about joining the webinar. Prior to the webinar, please submit initial questions via email to BSAEFilingHelp@fincen.gov, and indicate “FinCEN CTR Update Questions” in the subject heading.

Question of the Week

If we receive a garnishment order for the Account of Joe Smith, and Jane Smith is a joint owner on the account, can we garnish this account even though we know that this is Jane’s money, too?

Yes. You would have to garnish the account. It is easy to feel sorry for the innocent joint owner, but remember that this goes along with being a joint owner on an account.

Related Links:

Legal Briefs

National Credit Union Administration (NCUA)

The NCUA announced that it will host a Twitter chat on June 7, 2017 at 2 p.m. EST that will allow credit unions to share their experiences using the NCUA’s new Learning Management Service.

The NCUA, jointly with the FDIC, FRB, and OCC, issued an advisory on appraiser availability. The agencies issued the advisory to highlight two options available to depository institutions when there is a shortage of appraisers.

Consumer Financial Protection Bureau (CFPB)

The CFPB released its monthly complaint snapshot which focuses on complaints from older consumers.

CFPB Director Cordray delivered prepared remarks at the People and Places Conference. Cordray’s remarks focused on the structure and purpose of the CFPB as well as the steps the Bureau has taken to implement consumer protection regulations.

Federal Housing Finance Agency (FHFA)

The FHFA issued a press release on its index, showing that mortgage rates for purchase-money mortgages decreased in April.

The FHFA issued its final rule that authorizes certain credit unions without federal share insurance to become members of the Federal Home Loan Bank. The rule is effective on July 5, 2017.

Federal Reserve Board (FRB)

The June issue of FedFocus is now available.

The FRB released its final rule, amending portions of Availability of Funds and Collection of Checks (Reg CC). The final rule is effective on July 1, 2018.

The FRB announced an update to its Beige Book.

The FRB released the Discount Rate meeting minutes for March, April and May 2017.

Federal Deposit Insurance Corporation (FDIC)

The FDIC released its 2017 First Quarter Banking Profile. The profile shows that FDIC-insured banks had an increase in net income, as the first quarter net income was 12.7% higher than this time one year ago.

Office of Foreign Assets Control (OFAC)

OFAC has updated the SDN list as of June 1, 2017. The last update prior to this was May 31, 2017.

Questions? Contact the Compliance Hotline: 1.800.546.4465; compliance@nwcua.org.