WASHINGTON (6/5/12)--In a move that could minimize regulatory burdens for credit unions and other financial institutions with more than $10 billion in assets, the National Credit Union Administration, the Consumer Financial Protection Bureau (CFPB), the Federal Reserve, the Federal Deposit Insurance Corporation and the Office of the Comptroller of the Currency announced they would soon coordinate some of their supervisory and examination efforts.
The collaborative effort was made official in a recent Memorandum of Understanding (MOU).
The Federal Financial Institutions Examination Council (FFIEC), which is comprised of those regulators, said the MOU would help regulators establish arrangements for coordination and cooperation between the CFPB and the prudential regulators, minimize unnecessary regulatory burden, avoid unnecessary duplication of effort, and decrease the risk of conflicting supervisory directives.
Under the MOU, federal financial regulators will, in some cases, work together to schedule examinations and share draft reports of examinations, the FFIEC said. Regulators may also conduct simultaneous examinations of covered depository institutions, but financial institutions will have the ability to request separate examinations from their various regulators, the FFIEC added.
However, the Credit Union National Association (CUNA) said it is concerned by language in the MOU that would allow regulators to hold joint examinations, and share information gathered in those examinations, on a so-called "sampling basis."
For the full FFIEC release, use the resource link.