Compliance

WASHINGTON — What happens when you mix a cutting-edge payments technology with the newest financial regulator on the block, both of which stir policy passions?

American Express charges the highest average fees of any card network and Amex’s rules prevent retailers from taking steps to reduce those costs, the Department of Justice argued in court on July 7.

BNP Paribas agreed to a criminal plea and settlement with the U.S. Department of Justice on June 30 in which the French bank will pay close to $9 billion to settle charges it willfully continued to do business with nations and entities on the U.S. sanctions list. This was the largest such fine in Justice Department history and more than four times larger than any other sanctions fine. Credit Union Journal thought it would be interesting to look at the other biggest penalties levied against banks for sanctions violations. Here they are.

SAN FRANCISCO — The flurry of regulations coming out of CFPB were expected to drive some credit unions right out of the mortgage business, but the "big dog" of mortgage regulation is yet to come, and that one might finally do the trick, according to one compliance expert.

Merchants are wary of the proprietary look and feel of the process by which the card networks and issuers are adopting new security standards.

Federal and state regulators are putting more pressure on banks to take immediate actions to address looming defaults of home equity lines of credit.

ALEXANDRIA, Va. — NCUA has terminated its Letter of Understanding and Agreement with Valley Pride FCU of Plains, Pa.

American Express Co. drives a hard bargain with businesses that want to attract its affluent cardholders: treat the card like any other form of payment despite higher processing costs if you want those customers.

As a new Russian law took hold July 1 to help support a new national payment system, the country may have extended an olive branch to Visa and MasterCard regarding its fees. But Visa says these reports are conflicting, and the details are not yet finalized.

Two credit unions that have filed late call reports and face civil money penalties say they have until mid-July to either pay their fines or appeal.

NCUA's risk-based capital proposal is either "a solution looking for a problem" or "an attempt to modernize the capital system," depending on who's doing the talking.

BIRMINGHAM, Ala. — NCUA's proposed rule on associational common bond requirements has many credit union executives saying they are uncertain about what the agency will be looking for when it reviews existing associational relationships.

Of the 104 federally insured credit unions that missed the April 25 call report filing deadline, 84 were fined last month by NCUA, according to a report from Northwest Credit Union Association's website.

LOS ANGELES — Reactions were mixed following NCUA's first "Listening Session" on the proposed risk-based capital rule here last week.

Bitcoin and other digital currencies will get more attention from the U.S. Consumer Financial Protection Bureau after prodding from a congressional watchdog.

Credit union executives peppered NCUA officials during the agency's first "Listening Session" on the risk-based capital rule here Thursday about why the agency continues to refuse to extend the comment period.

In widely anticipated legislation on Bitcoin, Canada is regulating digital currency businesses under existing rules for money movement and California is updating its laws to legalize the use of alternative currencies.

American Express has hired Laureen Seeger as its new general counsel.

WASHINGTON — NCUA's risk-based capital proposal is drawing more fire from Washington, this time from the chairman of the House Financial Services Committee.

Independent Resource Network Corp., a Westbury, N.Y.-based independent sales organization, recently agreed to pay $400,000 and waived its right to funds in a merchant's reserve account to settle a civil suit brought by the Federal Trade Commission.