Debit Cards/Interchange Fees

  • Status hearing in U.S. District Court of the District of Columbia in NACS v. Board of Governors, August 14. Opinion available here.

Disaster Planning

  • CFTC, SEC, FINRA issue joint staff advisory on business continuity and disaster recovery planning in advance of hurricane season. Advisory available here.

Lending Limits/Derivatives

  • OCC Bulletin 2013-17 (Aug. 15, 2013), regarding final rule that applies section 32 lending limits to credit exposures arising from derivative transactions and securities financing transactions. Final rule available here.
  • Final rule takes effect Oct. 1, 2013.
  • Three alternatives for measuring the credit exposure associated with a derivative transaction:
  • Conversion Factor Matrix Method
  • Current Exposure Method
  • OCC-approved internal model  
  • Three alternatives for securities financing transactions:
  • Locking in the attributable exposure
  • OCC-approved internal model
  • Basel Collateral Haircut Method
  • Note securities financing transactions relating to Type I securities are excluded from lending limit calculations  


  • Exam procedures: CFPB releases second update of mortgage exam procedures on Aug. 15 to encompass mortgage origination rules through May 29, 2013, and mortgage servicing rules through July 10, 2013. Updates available here. Items covered include:
  • Evaluation of ability to repay
  • Procedures and documentation for qualified mortgages
  • Compliance with bans and limits on certain fees, points, and risky features
  • Required monthly statements and disclosures
  • Compliance with restrictions on dual tracking of foreclosure proceedings and loan modifications
  • Access to servicing personnel and a fair review process
  • Use of licensed or certified appraiser

Bank Closings

  • None.

Too Big to Fail

  • President Obama met with independent federal financial regulatory agency heads on August 19 to urge quicker adoption of Dodd-Frank rules. (OCC not included.) Readout of the meeting available here.
  • Federal Reserve finalizes annual assessment fees for supervision and regulation of bank and thrift holding companies with $50 billion or more in total consolidated assets and nonbank financial institutions subject to supervision by the Federal Reserve. Rule available here.

Congressional Activity

  • House and Senate not in session; both to return Sept. 9, 2013.

Regulatory Comment Deadlines

  • Aug. 21 – CFTC: Exemptive Order relating to cross-border swap activities.
  • Aug. 21 – SEC: Cross-border security-based swap transactions.
  • Aug. 27 – Federal Reserve: data collection requirements for certain money market instruments.
  • Sept. 9 – CFPB, other agencies: Exemptions from appraisal requirements for certain high-priced mortgage loans.
  • Sept. 16 – CFTC: standards for compliance with compliance with core principles of derivatives clearing organizations by systemically important derivatives clearing organizations.
  • Sept. 17 – SEC: Money market reforms.
  • Sept. 25 – Federal Reserve, FDIC, OCC: Stress Test Guidance for Medium-Sized Firms.
  • Sept. 27 – BCBS: Capital treatment of bank exposures to central counterparties; non-internal model method for capitalising counterparty credit risk exposures.
  • Sept. 30 – FSB: Principles for an Effective Risk Appetite Framework.
  • 60 days after publication – FRB, FDIC, OCC: Market risk capital rules.
  • Oct. 4 – BCBS: Capital requirements for banks' equity investments in funds.
  • Oct. 11 – BCBS: Discussion paper, "Balancing risk sensitivity, simplicity and comparability."
  • Oct. 21– Federal Reserve, OCC, FDIC: Enhanced supplementary leverage ratio for certain bank holding companies and their subsidiary insured depositary institutions.