On February 20, the Federal Financial Institutions Examination Council (FFIEC) announced its approval of certain revisions to the reporting requirements for the Consolidated Reports of Condition and Income (Call Reports). For the changes to become final, however, the U.S. Office of Management and Budget must approve them.

In its release, the FFIEC has proposed reporting changes “related to the 1-4 family residential mortgage loans such as reporting interest and fee income on,and the quarterly average for, such mortgages separately from the income on and the quarterly average for all other real estate loans.” The FFIEC has also added new items for restructured troubled mortgages and mortgage loans in process of foreclosure. With respect to Call Report Schedule RC-P on closed-end 1-4 family residential mortgage banking activities, such schedule will be expanded to include originations, purchases, and sales of open-end mortgages as well as closed-end and open-end mortgage loan repurchases and indemnifications during the quarter. Additional changes are further described in the attached link.

The changes will be implemented as of March 31, although the reporting of certain new items (such as the changes to Call Report Schedule RC-P) will be optional for that date but required beginning June 30.

Finally, as noted in the release, the banking agencies will no longer mail paper Call Report forms and instructions to banks. Rather, such forms and instructions can be found on the FFIEC’s Web site at www.ffiec.gov. and on the FDIC Web site at www.fdic.gov.

http://www.fdic.gov/news/news/financial/2008/fil08013.html.