OP-SUB UNDERWRITING: The OCC is expected by yearend to approve an application filed by Zions First National Bank to underwrite municipal revenue bonds through an operating subsidiary.
DERIVATIVES ACCOUNTING: The Financial Accounting Standards Board plans to finalize by yearend its proposal requiring companies to report derivatives at fair-market value on quarterly income statements.
MONEY LAUNDERING: Regulators are expected to propose in early 1998 long- delayed rules governing how federal financial institutions verify the identity of their customers. The Fed plans to have a draft ready by yearend and then develop a joint proposal with the other banking and thrift agencies. Regulators have been working on draft "know-your-customer" rules, which are meant to deter money launderers, since May 1996.
LENDING DISCLOSURES: The Fed and HUD plan to issue a legislative proposal by early next year on how Congress should combine the disclosures required by the Truth-in-Lending and Real Estate Settlement Procedures acts. The Fed requested recommendations April 2 and comments were due June 30. The Fed's consumer advisory council recently recommended simplified rate disclosures for homebuyers and tightened limits on fees for home equity loans.
FANNIE OVERSIGHT: The Office of Federal Housing Enterprise Oversight plans to initiate a comprehensive examination program for Fannie Mae and Freddie Mac on Jan. 1.
ELECTRONIC BANKING GUIDANCE: The OCC plans by yearend to issue risk management guidelines for Internet and other types of electronic banking products. Meanwhile, the exam council expects by early 1998 to issue consumer protection guidelines for electronic banking.