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CBI Endorsed Member ICBA Securities and its exclusively endorsed broker-dealer Stifel opened registration for the 2023 Balance Sheet Academy.

Scheduled for Oct. 16-17 in Memphis, the live event will focus on managing balance sheets, liquidity and capital, loan and investment portfolios, and more. Click here for complete agenda.

|1 Register here.

CBI Member Article:

The Federal Corporate Transparency Act Requires Entities to Report Their Ownership Beginning Jan. 1, 2024

by Marc Ward - Fredrikson

New Federal law requires reporting of the ownership and organizers of many new entities (corporations, LLCs, etc.) formed on or after January 1, 2024, within 30 days after formation, and reporting of the ownership of many active existing entities formed prior to January 1, 2024. The law imposes significant penalties for failure to comply. [Note: As this article was being completed FinCEN filed a proposed rulemaking to extend deadline for compliance. The details are not known at this time.]

The good news is that banks and bank holding companies are exempt from the law. The bad news is that the law will apply to many of your customers and they may not be aware of it.

New reporting requirements under the federal Corporate Transparency Act (“CTA”) for certain entities will go into effect starting January 1, 2024. The core purpose of the CTA is to allow the Financial Crimes Enforcement Network (“FinCEN”) to collect information about “Beneficial Owners” and “Company Applicants” of entities that fall under the CTA’s regulations to assist with pursuing financial crimes including money laundering.

When the CTA goes into effect, it will materially impact the process and procedures for formation of new entities and the administration of existing entities, unless one of the exemptions from the requirements of the CTA applies. A summary of the CTA and its reporting obligations is set forth below. Note that this is only a summary and not intended to be comprehensive. Affected persons should consult with their attorneys prior to January 1, 2024, to develop a plan for compliance with the CTA.

|1 Keep reading....1 |

SBA E-Tran Update PowerPoint:

Including Info on Compliance Checks, Terms and Conditions and FTA Portal Updates

Late yesterday District Offices received a copy of a PowerPoint Slide Deck presented to the America East Small Business Lender Conference earlier this week. SBA has yet to post this training to the Training on Demand page. The slide deck outlines several important changes to E-Tran as a result of SOP 50 10 7:

1 • 1An overview of the compliance check process in E-Tran and how

 1 1 to resolve a compliance check issue. A Compliance Precheck is

 1 1 now available. Feedback given to the Iowa District Office states that

 1 1 Lenders have not been able to pre-score a loan of $500,000 or less for

 1 1 credit after doing a compliance pre-check, so the Office encourages

 1 1 you to do any credit pre-scoring first. Also note that if your loan

 1 1 application fails the initial compliance check, the application will go into

 1 1 WITHDRAWN status and you will need to follow the guidance outlined

 1 1 in the PowerPoint to work with SBA to resolve any compliance check

 1 1 codes. A listing of the codes being used, where to find them in E-Tran,

 1 1 and the supporting documentation typically needed to resolve them,

 1 1 can be found in the PowerPoint.

1 • 1An overview of the Term and Conditions implemented in E-Tran

 1 1 Origination. A section-by-section breakdown of where those fields are

 1 1 mapped and how to generate a Terms and Conditions document are

 1 1 outlined in the PowerPoint.

1 • 1An update on FTA (Fiscal Transfer Agent) information available in

 1 1 E-Tran.

Dickinson Law's 2023 Banking Law Seminar Less Than Two Weeks Away

Join CBI Affiliate Member Dickinson Law on September 7 at the Hilton Rewind Hotel in West Des Moines for their 2023 Banking Law Seminar. Here they will Navigate the Future of Banking by focusing on the emerging issues in the banking industry. The full seminar runs from 8:30 am - 3:30 pm; a complimentary breakfast and lunch will be served.

View the complete agenda here. Seats are limited, so register today. Contact Sarah Ruba at 515-246-4508 or sruba@dickinsonlaw.com with questions.

| 1REGISTER NOW 1|

CBI Endorsed Member Storey Kenworthy & Workspace Foundation accepting open grant applications until Aug. 31

The Storey Kenworthy & Workspace Foundation for Giving is now accepting grant applications from eligible nonprofit organizations. Five grants, each valued at $5,000, will be awarded to nonprofits whose initiatives align with Storey Kenworthy & Workspace's core philanthropic focuses. The focus areas are:

1•1Abuse and violence prevention

1•1Children and education

1•1Diversity, equity and inclusion

1•1Mental health awareness and services

Nonprofit organizations passionate about creating positive impacts within these focal areas are encouraged to apply. Grant applications will be accepted until August 31st each year.

Click here for details about the Storey Kenworthy & Workspace Giving Programs.

SEC reopens comment period on ‘custody rule’ proposal



The Securities and Exchange Commission announced it has reopened the comment period on its proposed rule that would redesignate and amend the current custody rule under the Investment Advisers Act of 1940 to enhance protections of customer assets managed by registered investment advisers, which was proposed by the Commission on February 15, 2023. The initial comment period ended on May 8, 2023.

The reopened comment period will allow interested persons additional time to analyze the issues and prepare comments in light of the final rules and amendments to certain rules under the Investment Advisers Act of 1940 to enhance the regulation of private fund advisers.

The comment period will remain open until 60 days after the date of publication of the reopening release in the Federal Register.

Fed hosting FedNow town hall next week

The Federal Reserve said it is hosting a town hall meeting next week on the FedNow Service. 

Scheduled for 1:00 pm Central on Thursday, August 31, the 90-minute webinar will feature panel discussions with financial institutions that are live on FedNow. The webinar will cover launch experiences, use cases, and what’s next for FedNow.

Four agencies to host roundtable on special purpose credit programs

The OCC yesterday announced that it will co-host, with HUD, the FHFA, and the CFPB, a virtual roundtable discussion at 2:00 pm CDT on September 12, 2023, regarding the availability of special purpose credit programs (SPCPs) to help meet the credit needs of eligible individuals. A link to the livestream event will be available on Sept. 12 by 1:00 pm CDT.

HUD Secretary Marcia L. Fudge, Acting Comptroller of the Currency Michael J. Hsu, FHFA Director Sandra L. Thompson, and CFPB Director Rohit Chopra are scheduled to offer remarks at the event, which will also include a roundtable discussion with representatives from community groups and industry trade organizations that is focused on the opportunities and benefits of SPCPs.

New CISA fact sheet details quantum computer threat

CISA issues security roadmap for remote monitoring software

CBI Endorsed Member SHAZAM: Ten Tips to Protect Against P2P Payments Fraud

CBI Member Compliance Alliance: The Most Important Pillar of BSA

Q. On Regulation E error investigations, does a customer have to be given provisional credit if the investigation is conducted within the first day of the dispute and proven the customer is liable for the purchases?

A. You're required to provide provisional credit if an investigation under Regulation E 1005.11 extends beyond ten days. So, if you're resolving your investigation and issuing findings before that deadline then there is no need for provisional credit under the Regulation.

12 CFR 1005.11(c)(2)

AROUND IOWA

85.1% Of Iowa Residents Still Use Brick-And-Mortar Banks, 4th Most in the US

Police say man was tricked into stealing around $200,000

IA Dept. of Ag awards grants to support specialty crop producers

OPERATIONS/MARKETING

CBI Member RSM US: IRS warns against compliance issues associated with ESOPs

The State of Worker Burnout

Customer Experience: My Dog Wants to Go to the Bank

LENDING / INVESTMENTS

5 Steps to Better Treasury Management

CBI Member RSM US: Everyone wants a piece of lending

After 25 years, women’s investing club finishes profitable run

DIRECTORS

What’s Possible for Community Banks Through Fintech Partnerships

Embracing Strategies and Overcoming Challenges to Unlock Growth

PODCAST: The Biggest Risk in Banking

AGRIBUSINESS

What Do Interest Rate Increases, Bank Downgrades Mean for Farmers?

Inflation and Recession Pressures: Is Farmland a Good Investment Right Now?

Diversifying farm income through renewable energy ventures

TECH & PAYMENTS

Personal Financial Management Is the Next Must-Have for Mobile Banking Apps

Payments companies pursue AI

Why AI tech projects flop in banking and what to do