SEC, DFPI charge unregistered crypto platform
The company agreed to pay a $1.5M penalty to the DFPI on behalf of 51 U.S. jurisdictions, mirroring a similar settlement with the SEC.
New Private Student Loan Acquisition Business Activity Available in NMLS [nmls.org]
Learn more about this topic and others in the NMLS Resource Center.
Updated NMLS Modernization Web Page Now Available [nmls.org]
Learn more about this topic and others in the NMLS Resource Center.
CFPB reflects on 2023 enforcement actions; states upcoming enforcement goals
The Bureau reportedly filed 29 enforcement actions and resolved six final orders on previously filed lawsuits in 2023 and stated its intent to increase its capacity in 2024.
NYDFS pens guidance for vetting key senior officials within financial institutions
The final guidance came after a review process conducted over the past year where twenty comments indicated the need for Covered Institutions to build “robust character and fitness” policies.
Illinois proposes rule to evaluate mortgage community reinvestment
The Illinois Community Reinvestment Act is modeled off the Community Reinvestment Act, but expands its scope of covered financial institutions to include credit unions and licensed entities.
Colorado fines debt collector $500K for collecting on illegal loans
The company previously contracted to collect debt from consumers on behalf of unlicensed lending entities associated with Native American tribes, or Tribal Lending Entities (TLEs).
NYDFS and Fed fine bank for BSA/AML non-compliance
An investigation into the bank’s practices determined that the New York branch lacked any formal policies or training on confidential supervisory information (CSI).
FinCEN Finalizes Beneficial Ownership Information Access Rule as Reporting Rule Takes Effect
The Access Rule takes effect Feb. 20, 2024 and is the second of three FinCEN rulemakings to implement the Corporate Transparency Act. Read more on Orrick.com
FINRA report covers new topics including cryptoassets
Other new topics in the annual regulatory oversight report include OTC Quotations in Fixed Income Securities, Advertised Volume, and the Market Access Rule.
Student loan servicer fined $1.8M by Mass. AG
The settlement resolves allegations that the company did not properly communicate Income-Driven Repayment (IDR) plan renewals to borrowers.
NYDFS orders digital currency trading company to pay $8M
The company must also surrender its BitLicense for failing to meet compliance obligations related to NYDFS virtual currency and cybersecurity regulations.
States endorse the CFPB’s rule to regulate fintechs
A comment letter submitted by 19 state attorneys general emphasized the importance of regulating nonbank financial institutions, including popular digital payment applications.
Bank to pay $1.9M to resolve redlining suit
The DOJ alleged that the bank engaged in unlawful redlining in Memphis, Tennessee in violation of the Fair Housing Act, ECOA, and Regulation B.
New York floats BNPL legislation in FY 2025 budget
The proposed provisions would require buy now pay later financing providers to pay a fee and file a written application to receive a license, among other things.
Idaho publishes proposed rule changes on Mortgage Practices Act
According to the Idaho Department of Finance, the rule changes aim to “reduce regulatory burden by removing outdated requirements.”
FinCEN identity fraud report outlines statistics and processes
The report is part of a broader set of financial trend analyses conducted by FinCEN under section 6206 of the Anti-Money Laundering Act of 2020.
Oregon enacts money transmission bill regarding security devices
A security device is defined by Oregon law as a surety bond or an irrevocable letter of credit.
New York enhances consumer notification obligations on automatic renewals
Businesses must inform consumers about impending automatic renewals or continuous service charges at least forty-five days before charges are applied.
DFPI fines online platform for omitting convenience fee disclosures
The consent order resolved alleged violations of the California Consumer Financial Protection Law (CCFPL).