The week following the Fourth of July was typically quiet and did not include developments broadly applicable to the community banking sector.  Minutes of the June meeting of the Federal Reserve's Open Market Committee were released; together with a speech by Federal Reserve Chair Yellen, the minutes provide a full accounting of the Federal Reserve's views about the U.S. economy over the near term.  Tomorrow and Wednesday, Chair Yellen will present to Congress the Federal Reserve's semiannual report on monetary policy. The full set of events over the past two weeks is as follows. The Economy

  • Minutes of Federal Open Market Committee meeting on June 16-17 released.
    • "[M]embers expected moderate economic growth over the medium term. Ongoing gains in employment and wages along with a high level of consumer confidence were expected to provide support to household spending."
    • "The Committee concluded that, although it had seen some progress, the conditions warranting an increase in the target range for the federal funds rate had not yet been met, and that additional information on the outlook, particularly for labor market and inflation, would be necessary before deciding to implement such an increase."
    • Minutes available at
  • "Recent Developments and the Outlook for the Economy," remarks by Federal Reserve Chair Yellen at the City Club of Cleveland (July 10).
    • "[I] is my judgment that the lower level of the unemployment rate today probably does not fully capture the extent of slack remaining in the labor market – in other words, how far away we are from a full-employment economy."
    • "While the labor market has moved closer to the FOMC's mandated goal of maximum employment, less progress has been made in moving inflation close to the FOMC's longer-run objective of 2 percent."
    • "Based on my outlook, I expect that it will be appropriate at some point later this  year to take the first step to raise the federal funds rate  and thus begin normalizing monetary policy."
    • Remarks available at   

Community Banking


  • Banking agencies publish list of distressed or underserved nonmetropolitan middle-income communities (July 8).

Debt Collection

  • OCC, CFPB, and 47 states settle claims against JPMorgan Chase (July 8).


Financial Literacy



Money Transmission

  • North Carolina House passes H.B. 289, the North Carolina Money Transmitter Act (May 13.  See Virtual Currency below.

Payday Lending

Payment Systems



  • OCC assesses civil money penalty against JPMorgan Chase for debt collection practices that were, among other things, out of compliance with Servicemembers Civil Relief Act (July 8).  See Debt Collection above.  
  • New York closes "Fort Drum Loophole" (July 6).
    • "Loophole" announced in 2005 had allowed unlicensed lenders to make loans in excess of usury limits to servicemembers stationed in but not residents of New York.
    • Principal lender now required to establish New York–licensed company.
    • Dep't of Financial Services to investigate online lenders.
    • Letter from Dep't of Financial Services and announcement available at
  • CFPB issues report, Overseas & Underserved: Student Loan Servicing and the Cost to Our Men and Women in Uniform (July 7).

Too Big to Fail

Virtual Currency

On a lighter note…

Bank Closings

Congressional Activity – Upcoming.

  • July 14
    • House Financial Services Committee hearing, "Fed Oversight: Lack of Transparency and Accountability."
  • July 15
    • Senate Banking Committee hearing, "The Consumer Financial Protection Bureau's Semi-Annual Report to Congress."
    • House Financial Services Committee hearing, "Monetary Policy and the State of the Economy."
  • July 16
    • Senate Banking Committee, "The Semiannual Monetary Policy Report to the Congress."

Congressional Activity – Recent Hearings

Upcoming Events

  • July 13-15
    • FDIC, 2015 Interagency Minority Depository Institution and CDFI Conference, Washington, DC.
  • July 14
    • OCC Director Workshop, Risk Governance, Des Moines, IA.
  • July 15
    • OCC Director Workshop, Compliance Risk, Des Moines, IA.
  • July 22
    • OCC program for minority- and women-owned businesses, "Managing for Long-Term Success," Washington, DC.
  • July 28
    • OCC Director Workshop, Risk Governance, Harrisburg, PA.
  • July 29
    • OCC Director Workshop, Credit Risk, Harrisburg, PA.
  • July 30
    • FDIC Bank Teleconference Series, youth savings programs.
  • Aug. 4
    • EGRPRA field hearing, Federal Reserve Bank of Kansas City.
  • Oct. 15-16
    • FDIC, 5th Annual Consumer Research Symposium, Arlington, VA.
  • Nov. 19-20
    • National Community Investment Fund, 2015 Development Banking Conference, Chicago, IL.

Regulatory Comment Deadlines

  • July 24 – Federal Reserve: inclusion of certain general obligation state and municipal bonds in high-quality liquid assets for the purpose of the liquidity coverage ratio.  
  • August 10 – Federal Reserve/FDIC/OCC/NCUA/CFPB/SEC: information collection relating to interagency diversity standards.  
  • July 27 – FDIC: ANPR on deposit account recordkeeping by large banks.  
  • Aug. 11 – SEC:  new and amended reporting requirements for investment advisers.  
  • Aug. 11 – SEC: new and amended reporting requirements for mutual funds.  
  • Aug. 31 – FTC: privacy policies of auto dealers that finance purchases to be posted on line.  
  • Sept. 3 – Federal Reserve/FDIC/OCC: EGRPRA review, phase 3.  
  • 60 days after publication in Federal Register – SEC: clawback of erroneously paid executive compensation.  
  • Sept. 11 – FDIC: insurance assessments for small banks.  
  • Sept. 11 – Basel Committee: consultative document on interest rate risk.