I just finished an audit of the bank's compliance with Reg E and discovered quite a few serious problems with our process. My problem now is trying to convince senior management/Board of the importance of complying with Reg E. Does anyone have anything I could use to convince them (ie. - regulatory actions, law suits, etc.). The response I keep getting is, "We've been though X number of exams and have not been cited."

Check out FTC's website... I am sure there is something out there.

I would suggest that there are many things that your bank may have "been fine with" in the past that are now receiving greater regulatory scrutiny, and that what may have been acceptable in the past is no longer acceptable. The gray areas are shrinking, and it is becoming black or white.

There are a number of civil suits mentioned in this presentation:

http://www.nafcu.org/Source/2AndrewLorentz-RegE.pdf

The problem with regulatory enforcement, these type of violations do not usually result in a C&D and therefore is not public information.

Individually, I do know banks that have had to re-work thier Reg. E claims and provide restitutions to consumers.

If you have problems and haven't been previous cited, it is because they haven't specifically looked at error resolutions.

FWIW, I agree with Happy, things that may not have been cited in the past may well not pass muster this time around. Examiners at banks I know of have been pretty stingy with a 1 complaince rating...

That's exactly what I've been telling my superiors - just because it was not cited in the past, doesn't mean it was right and won't be cited in the future. I'm sure the whole wave of "consumer protection" will bring more scrutiny on Reg E.

Thanks for the information rlcarey!