ABA's Center for Regulatory Compliance is your gateway to support for meeting the challenges of managing compliance risk. We provide direct access to regulatory expertise, up-to-date reports on agency initiatives, and the resources to assist you in keeping pace with the demands of supervisory oversight.
Advanta Bank to pay CMP for Unfair and Deceptive Practices (7/2/09) Advanta Bank Corporation agreed to pay Civil Money Penalty in the amount of $150,000, restitution of $14 millions to businesses, and $21 million to accountholders for deceptive and unfair practices, a Federal Deposit Insurance Corporation (FDIC) press release announced July 1st. Advanta's annual percentage rate (APR) increases on the accounts of small business owners and professionals had been implemented in an unfair manner, the press release said. Advanta failed to adequately notify accountholders that their APR had increased, the amount of the increase, the reason for the increase, the procedures to opt-out and the consequences of an opt-out.
Agencies Update Loan-to-Deposit Ratios (6/30/09) The federal banking agencies on June 29th issued updated host-state loan-to-deposit ratios that they will use to determine compliance with Section 109 of the Riegle-Neal Interstate Banking and Branching Efficiency Act. Section 109 prohibits banks from establishing or acquiring branches outside their home states primarily for the purpose of deposit production. Congress enacted Section 109 to ensure that interstate branches would not take deposits from a community without helping to meet its credit needs. Read the ratios.
