FHFA Accepting Comments on Federal Home Loan Bank System
The Federal Housing Finance Agency (FHFA) is conducting the first review of the Federal Home Loan Bank (FHLBank) System in nearly 100 years. The Agency is soliciting feedback on the mission, membership requirements and effectiveness of the FHLBanks. The FHFA will also hear from stakeholders on the FHLBanks’ role or potential role in promoting housing and community investment and in addressing the needs of rural and financially vulnerable communities.
The American Bankers Association (ABA) has created members-only guidelines for banks to submit comments on the review.
Comments can be submitted through Oct. 21, 2022, via FHFA’s website or mailed to Federal Housing Finance Agency, 400 7th Street, SW, Washington, DC 20024.
Trade Groups: Deposit Levels Show Assessment Hikes Unfounded
A coalition of banking trade groups cited new data in a recent letter opposing proposed deposit insurance assessment rate increases. The Quarterly Banking Profile released last month showing declines in deposit levels "supports and confirms that an assessment rate increase is unwarranted at this time," the groups stated.
The Federal Deposit Insurance Corporation (FDIC) proposed to raise the schedule for assessment rates by two basis points - i.e., so that the assessment rate would be two basis points for every bank. The change would take effect for the first quarter of 2023 (payable that June) and remain until the Deposit Insurance Fund reaches 2.00%.
The NBA submitted a letter in August opposing the assessment increases. “The proposed two-basis-point increase in the FDIC assessment rate is not supported by current market conditions and would have a significant negative impact on community banks in Nebraska and throughout the United States,” the NBA said.
Read the Letter
Financial Institution Cybersecurity Resource Updated
The Federal Financial Institutions Examination Council (FFIEC) issued an update to the FFIEC Cybersecurity Resource Guide for Financial Institutions. The 2022 guide lists voluntary programs and actionable initiatives that are designed for or are available to help financial institutions meet their security control objectives and prepare to respond to cyber incidents.
Read the Guide