On May 13 the Consumer Financial Protection Bureau (CFPB) issued pandemic related information including a Statement on Supervisory and Enforcement Practices Regarding Regulation Z, FAQs on Open-End (not Home Secured) Rules Related to COVID-19, and FAQs on Payment and Deposit Rules Related to COVID-19. A summary of the Payment and Deposit Rules FAQs, which includes three main questions, is provided below. FAQ one addresses whether a financial or depository institution can change account terms for […]
Category: Deposit Compliance
IRS ISSUES Q&AS ON CORONAVIRUS-RELATED RELIEF FOR IRAs AND RETIREMENT PLANS
Under the Coronavirus Aid, Relief, and Economic Security (CARES) Act, special rules were implemented to provide relief to Americans impacted by the pandemic. This relief includes providing easier access to retirement and IRA funds for those who need it through special distribution options and rollover rules, as well as permissible loans from certain retirement plans. The 14 Q&As released by the IRS addresses questions by both individuals and administrators related to the relief for retirement […]
FRB Eliminates Six-Per-Month Regulation D Limit
On Friday, April 24, 2020, the Federal Reserve Board announced an interim final rule amending Regulation D to immediately delete the six-per-month limit on convenient transfers from the definition of savings deposit and allow financial institutions to immediately to suspend enforcement of the six-transfer limit. Compliance Resource has been anticipating this amendment and is pleased to see this announcement, as this action brings relief to customers needing to easily access savings deposit funds during the […]
SECURE ACT IMPACT ON IRAs
The Setting Every Community Up for Retirement Enhancement (SECURE) Act, as part of the Further Consolidated Appropriations Act, 2020 (H.R. 1865, as amended) was signed into law on December 20, 2019. It will bring with it changes to retirement plans including individual retirement accounts (IRAs). Financial institutions offering IRAs should become familiar with the changes beginning with tax year 2020. Some of the notable IRA enhancements include: Extending the age for which minimum distributions from […]
DEALING WITH THE FIDUCIARY RULE
By Sonja Kriegsmann, JD, Guest Author The Department of Labor (DOL) has issued its long awaited Fiduciary Rule. The Rule expands who is considered a fiduciary when giving retirement investment advice under the Employee Retirement Income Security Act (ERISA) and the Internal Revenue Code. Although a final rule was issued, the DOL has subsequently published several issuances that impact both when the Rule becomes effective and the content of the Rule itself. Here’s a timeline […]