Bankers Compliance Group


Today is: September 25, 2023	Monthly Newsletter	Calendar of Events	Important Updates

Bankers' Compliance Group^® (BCG) is an organization of dozens of banks, credit unions, and savings associations that have associated for the purpose of retaining and sharing legal counsel for group legal services.

BCG members pay a monthly membership fee for monthly briefings, newsletters, all-day seminars, Standard Procedures Manuals, telephone access to legal counsel, and special projects that are of common interest to members.

The law firm of Aldrich & Bonnefin, PLC* acts as legal counsel for BCG and provides expertise in all areas of banking operations, consumer, mortgage and commercial lending, regulatory compliance, corporate governance, negotiable instruments, legal processes, new accounts, and much, much more.

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It's More Than Just Compliance!

Bankers' Compliance Group^® is known throughout California for advising, teaching and keeping its members informed about developments in legal and regulatory compliance matters.

Also available to BCG members and non-members alike is a full range of legal services for financial institutions.

Aldrich & Bonnefin* (counsel to Bankers' Compliance Group^®) is available to assist financial institutions with all aspects of loan structuring and documentation, as well as loan workouts and collections. Our experienced attorneys assist clients with questions about various issues regarding both consumer, mortgage, and commercial loans ranging from regulatory compliance to due diligence and structuring. We offer assistance in all aspects of documentation, from providing sample language for a specialized provision, to providing customized documentation for all or a portion of a loan transaction.

In addition, we offer a series of generic forms that will supplement most computer-generated documentation systems. Our form documents are designed to provide flexibility, that may not be available from an automated system, often needed in order to customize a document for special terms and conditions required for a specific transaction. We also offer assistance with setup and training for automated documentation systems.

Aldrich & Bonnefin* also provides legal and regulatory support in connection with all areas of banking operations and financial technology (fintech) services. We advise clients regarding regulatory compliance issues involving banking operations, including Regulations DD, CC and E, and prepare customer-facing account disclosures, account agreements and other documentation related to banking operations. The firm's unique involvement in “on-the-spot” telephone support to clients for immediate preventive advice provides reduced risk and promotes early resolution of operations claims and disputes.

OCC Publishes Lending Limit Guidance on Loan Purchase Activities*

On August 8, 2023, the Office of the Comptroller (OCC) published Bulletin 2023-27 entitled “Loan Purchase Activities: Legal Lending Limit Guidance” (the “Bulletin”). The Bulletin provides national banks, federal savings associations, and federal branches and agencies of foreign banking organizations (together “Covered Institutions”), guidance regarding the applicability of the legal lending limit to purchased loans. Read more.

Federal Reserve Fines Bank $2.95 Million for Flood Insurance Violations and Practices*

The Federal Reserve recently announced an enforcement action and fines against Alabama-based Regions Bank for alleged violations of the National Flood Insurance Act. It also claimed that the member bank failed to effectively monitor for compliance its home equity lines and loans after changes in loan servicing platforms and third-party service providers. It considered these failures, which were stated to have occurred over a period of more than one year, to be an unsafe and unsound pattern or practice. Read more.

Not So Fast – State Member Banks to Obtain Fed’s Approval to Issue Stablecoins*

On August 8, 2023, the Federal Reserve Board (FRB) notified its state member banks that it must first obtain written notification of supervisory nonobjection from the agency before issuing, holding, or transacting in dollar tokens (or stablecoins) used to facilitate payments. In its supervisory letter, the FRB outlined the supervisory nonobjection process for member banks seeking to engage in transactions involving distributed ledger technology or similar technologies to facilitate payments. In the same letter, the FRB also announced the creation of the Novel Activities Supervision Program, formed to enhance state member banks’ activities related to such transactions. Read more.

* Janet Bonnefin is retired from the practice of law with the firm.

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