The Federal Reserve is committed to making changes to the Community Reinvestment Act but is not likely to be a part of a reform proposal by the Office of the Comptroller of the Currency expected to be released on Dec. 13, according to Randal Quarles, the Federal Reserve regulatory chief. The Federal Deposit Insurance Corp. will vote on how it will proceed on Dec. 12 and the agency may join the OCC in its proposal.
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Former Consumer Financial Protection Bureau Director Richard Cordray said states could pick up some regulation of the small dollar lending industry and criticized current Director Kathy Kraninger for her proposal to change regulations. Cordray also praised the CFPB for its current supervisory work.
Thomas G. Ward, the leader of the Department of Justice's tort industry, is reportedly a candidate for the job of enforcement director for the Consumer Financial Protection Bureau. Cara Peterson, who has served as acting enforcement director after Kristen Donoghue left the post in May, is also said to be seeking the position.
Wells Fargo customers who could have misunderstood monthly fee waivers on their checking account will get refunds next year, CEO Charlie Scharf said in response to a letter from Rep. Katie Porter, D-Calif. "We are working closely with our regulators to finalize a comprehensive remediation plan to compensate customers who may have been affected by the manner in which we described how using a debit card could result in the waiver of monthly service fees," Scharf said in the letter.
Education Secretary Betsy DeVos said earlier this week she wants a separate agency to manage the federal student loan program. The fact that the Education Department is now the fifth largest bank in the US "speaks volumes to America's federal student loan crisis," said Richard Hunt, president and CEO of the Consumer Bankers Association.
Bank liquidity rules are an "important unfinished piece of post-crisis regulatory reform" and could have a large impact during periods of economic stress, said former Federal Reserve regulatory chief Daniel Tarullo. Regulators instead could focus on how banks manage their funding, according to Tarullo.
Treasury Secretary Steven Mnuchin says he is working with Federal Reserve Chairman Jerome Powell to ensure liquidity in the repurchase market, because the Fed has had to inject cash several times since September to steady the market. "We've talked in our weekly meeting [about] making sure the Fed is prepared for year-end activity so there are ample reserves," Mnuchin told the House Financial Services Committee.
US Treasury Secretary Steven Mnuchin says he and Federal Reserve Chairman Jerome Powell agree there is no need for the central bank to introduce a digital currency. Mnuchin says that he has no problem with Facebook creating a digital currency but that it must comply with rules on money laundering and bank secrecy.
Bring your values, stories and curiosity to your work, but don't share everything you think, writes leadership coach Annette Kramer. "Get into the habit of leaving some of your own thoughts and opinions unsaid, to make room for the participation of everybody else," she writes.
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