Exception Tracking Spreadsheet (TicklerTrax™)
Downloaded by more than 1,000 bankers. Free Excel spreadsheet to help you track missing and expiring documents for credit and loans, deposits, trusts, and more. Visualize your exception data in interactive charts and graphs. Provided by bank technology vendor, AccuSystems. Download TicklerTrax for free.
OCC updates licensing requirements
The OCC has released a final rule updating and clarifying licensing policies and procedures. The final rule makes various changes to the OCC’s Rules, Policies, and Procedures for Corporate Activities, (12 CFR part 5), including eliminating unnecessary requirements consistent with safe, sound, and fair operation of the federal banking system. It is part of the OCC’s continual effort to modernize its rules and reduce unnecessary regulatory burden.
The rule makes the following changes, among others:
- Makes the definition of “well managed” consistent for all filing types.
- Eliminates the filing requirement for FSAs that adopt without change the OCC’s model or optional bylaws.
- Adds numerous provisions to 12 CFR 5.33 permitting national banks and FSAs to elect to follow the procedures applicable to state banks or state savings associations, respectively, for certain business combinations.
- For operating subsidiaries:
- Permits an eligible operating subsidiary of a qualifying national bank or FSA to engage in an activity that is substantively the same as a previously approved bank or FSA activity, respectively, by filing a notice with the OCC (national banks) or an application through expedited review (FSAs).
- Removes the annual national bank operating subsidiary reporting requirement.
- For non-controlling investments by a national bank and pass-through investments by an FSA:
- With prior OCC approval, permits investments in enterprises that have not agreed to OCC supervision.
- Provides an expedited review procedure for these investments under certain conditions.
- Expands the investments eligible for notice.
- Permits investments without a filing in enterprises conducting activities limited to those previously reported by the national bank or FSA in a previous non-controlling investment or pass-through investment filing.
- Provides procedures for granting and revoking citizenship and residency waivers for national bank directors.
- Permits national banks to request approval for a reduction in capital over more than four quarters.
- Changes the definition of “troubled condition” for purposes of changes in directors and senior executive officers to align with OCC supervisory practices. The updated definition specifies that an enforcement action (a cease-and-desist order, consent order, or formal written agreement) must require the national bank or FSA to improve its financial condition for it to be considered in “troubled condition” solely as a result of the enforcement action.
Conforming changes to 12 CFR parts 3 and 7 are also made. The final rule is effective January 1, 2021, except for a change to paragraph 5.20(e)(2) relating to the OCC's taking into account a proposed insured national bank's or FSA's description of how it will meet its CRA objectives, which will be effective on publication of the final rule.