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Unfair and deceptive acts or practices authority has taken on a more significant role in  banking supervision in recent years.

Recent Developments 
The Basics 
Commentary

• Regulation AA, UDAP Final Rule, Effective July 1, 2010 (2/22/10)
• Fed UDAP Final Rule, Effective February 22, 2010 (2/22/10)
  • Withdrawal Notice (2/22/10)
    The Board is withdrawing a final rule amending Regulation Z and the staff commentary to the regulation published on January 29, 2009.
• NCUA UDAP Final Rule and Withdrawal Notice, Effective July 1, 2010 (2/10/10)
• Regulation AA Final Rule (1/29/09)
• FRB Open Meeting Materials (12/18/08)
• Final Rule: Regulation Z on Mortgage Practices (under HOEPA Unfairness authority) (7/14/08)
  • Link to Summary 
• Fed Issues Proposed Rules to Reform Credit Card, Overdraft Practices (5/2/08)
  • ABA Asks for Reg DD Extension (5/27/08)
  • Board Denies ABA request on Reg DD Comment Extension Deadline (6/5/08)
• OTS Releases Outline of Proposed Rule on Credit Card, Overdraft Practices (5/1/08)
• OTS UDAP ANPR (8/6/07)
  • ABA Comment letter

The Basics
FTC Standards

• FTC Policy Statement on Unfairness
• FTC Policy Statement on Deception
  

Related Banking Regulations

• Regulation AA Final Rule (12/18/08)
• Fed Proposes Mortgage Practice Regulations (1/9/08)
• Regulation AA
• OTS Credit Practices Rule
• OTS Advertising Rule
  

Banking Agency Policy Guidance

• Fed Distributes UDAP Exam Procedures (CA Letter 07-08)
  • Federal Reserve UDAP Exam Procedures
• OCC AL 2004-10 on Credit Card UDAP (9/14/04)
• OCC AL 2004-4 Secured Credit Card Practices (4/28/04) 
• FDIC FIL 57-2002 UDAP Enforcement Authority (5/30/02)
• FDIC FIL 26-2004 Managing UDAP Risks and Best Practices (3/11/04)
• FRB Managing UDAP Risks and Best Practices (3/11/04)
• OCC AL 2003-3 Predatory and Abusive Lending in Brokered and Purchased Loans (2/21/03)
• OCC AL 2003-2 Predatory and Abusive Lending Practices (2/21/03) 
• OCC AL 2002-3 Guidance on UDAP (3/22/02)

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• FDIC $114 Million Settlement with CompuCredit (12/19/08)
• FTC Sues Subprime Credit Card Marketing Company and Debt Collector for Deceptive Credit Card Marketing (6/10/08)
• FTC Subprime Lending Cases
• First National Bank of Marin (OCC Deceptive Credit Card Marketing Case)
• Clear Lake National Bank (OCC Tax-Lien Loans Case)
• First Consumers National Bank (OCC Credit Card Fees Case)
• First National Bank of Brookings (OCC Deceptive Credit Card Marketing Case)
• Fairbanks Capital (FTC Subprime Mortgage Servicing Case) (Updated and Modified 8/2/07)
• Kmart Settles With FTC Over Deceptive Gift Card Practices (3/12/07)
• Providian (OCC Credit Card Fees Case)
• FTC Publishes Decisions Since 1969 On-Line (11/15/06)
• Court Order Shuts Door on Advance-Fee Credit Card Fraudsters (8/10/06)
• Integrated Credit Solutions Settlement 
  (FTC Press Release -- Deceptive Marketing of Credit Counselling Services) (5/3/06)
• Mortgages Para Hispanos 
  (FTC Press Release -- Alleged Deceptive Hispanic Mortgage Broker) (1/18/06) 
• Laredo National Bank (11/3/05) 
  (Detailed remedies for informing consumers including GFE accuracy.)  
• OCC and Laredo National Agree to Strengthen Controls Against UDAP (11/4/05)  
• Mortgage Broker Barred From Making Deceptive Claims (3/28/05)
• FTC Pursues ACH Processor for Aiding Deceitful Telemarketer (11/3/04)        
• Ocwen Supervisory Agreement (Servicing Practices - OTS) (4/04)
• Stewart Finance(Deceptive Loan Add-Ons - FTC) (10/03)
• DBC Financial (Misleading Bank Card Promotion - FTC Settlement) (2/00) and Complaint 

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• Recent FDIC Experience with UDAP Violations (12/18/08)
• FTC Testimony on Consumer Protection in Financial Services (6/13/07)
• Chairmen Frank and Dingell Urge Regulators to Improve Consumer Protection (5/11/07)
• ABA Bank Compliance article: Nothing In Life Is Free (7/05)
  A cover story on the compliance implications of marketing freebies.
• UDAP: Would You Recognize Them If You Saw Them? (05/05)
• Don't Sell Yourself Short: Protecting Your Bank from UDAP (01/03)
• On the Same Page: Federal Banking Agency Enforcement of the FTC Act to Address Unfair and Deceptive Practices by Banks, The Business Lawyer (5/03)
• The FTC's Use of Unfairness Authority

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Questions? For more information, contact compliance@aba.com.