Comments due on OCC proposal on Covered Savings Associations

The Office of the Comptroller of the Currency has announced it has approved a proposed rule that would provide more business flexibility to federal savings associations. The OCC will publish a notice of, and request for comment on, the proposed rule in the Federal Register, with a 60-day comment period.

The proposed rule would implement section 206 of the Economic Growth, Regulatory Relief, and Consumer Protection Act. The Act requires the OCC to issue regulations to allow federal savings associations with total consolidated assets of $20 billion or less as of December 31, 2017, to elect to operate with national bank powers. Federal savings associations that make the election generally would have the same rights and privileges as a national bank and be subject to the same duties, restrictions, penalties, liabilities, conditions, and limitations that apply to national banks.

UPDATE: Published 9/18/18, with 62 day comment period ending 11/19/18.