* WASHINGTON (8/14/08)--The Federal Reserve Board Wednesday requested public comment on a proposed change to Regulation S
, its Right to Financial Privacy rule. That rule sets the rates and conditions under which a government agency must reimburse a financial institution for costs incurred in producing customer financial records under the Right to Financial Privacy Act. The revision proposes two updates. First, the personnel fees that may be charged for searching and processing document requests are increased substantially. Second, the proposed amendments encourage electronic document productions by not allowing a 25 cents per page fee to be charged for printing electronically stored information. The proposal also includes an automated mechanism for periodically updating the labor rates found in the regulation… * WASHINGTON (8/14/08)--Industry representatives are charging that new regulations to reform the mortgage brokerage industry are incomplete. A registry that would be established to license brokers under the new rules is flawed, according to the banking industry (American Banker
Aug. 13). Each state will police its own licensing, which will likely lead to inconsistent enforcement, according to Doug Landy, a New York banking lawyer. All brokers must be licensed and entered into the registry by October 2010. To receive a license, brokers must undergo 24 hours of training and pass an exam. Observers also cited yield-spread premiums and said the reform won’t work until brokers maintain a monetary responsibility to borrowers. Currently, brokers earn fees on the premiums. If borrowers pay broker fees right away, it can lower closing costs in exchange for a higher interest rate ... * WASHINGTON (8/14/08)--Representatives from New York credit unions and the Credit Union Association of New York visited Capitol Hill to meet with 21 Congressional representatives, and their staff.
The delegates thanked lawmakers for supporting the Credit Union, Bank, and Thrift Regulatory Relief Act (CUBTRRA) and promoted sponsorship of the Credit Union Regulatory Improvements Act (CURIA). Credit unions met with the staff of Sen. Charles Schumer (D-N.Y.) and Sen. Hillary Clinton (D-N.Y.). From left are: Rob Nemeroff, marketing director, Melrose CU, Briarwood; James McKeon, board member, Municipal CU, New York City; Rep. Carolyn Maloney (D-Metropolitan); and William J. Mellin, league president. Evan Gotlob, strategic business analyst, Bethpage (N.Y.) FCU, and Fred Schaefer, Teachers FCU, Farmingville, also met with Maloney. (Photo provided by the Credit Union Association of New York) ...