PRIA, Government Policy, Made Personal

Summary

The Bureau can get reports and join examinations of insured banks and insured credit unions that have $10,000,000,000 or less in total assets, but the usual bank regulator keeps the power to enforce the rules. The Bureau may ask for information to do its consumer-protection work. It must try to use reports already given to federal or state agencies or public information first. It can still require information even if another company stores it. If an exam turns up possible tax-law problems, the Bureau must give that report to the IRS. The Bureau may place examiners on some exams done by the bank regulator. The bank regulator must share exam papers, include the Bureau examiner for the whole exam, and consider the Bureau’s input. Except for asking for reports, the bank regulator has exclusive enforcement authority. If the Bureau thinks a covered institution committed a serious violation, it must tell the bank regulator in writing and suggest action. The bank regulator must reply in writing within 60 days. Companies that provide services to many covered institutions are subject to the Bureau’s authority too, and the Bureau must coordinate with the bank regulator when examining them.

Title 12, §5516

Banks and Banking, Source: USLM XML via OLRC

(a)Scope of coverage

This section shall apply to any covered person that is—

(1)an insured depository institution with total assets of $10,000,000,000 or less; or

(2)an insured credit union with total assets of $10,000,000,000 or less.

(b)Reports

The Director may require reports from a person described in subsection (a), as necessary to support the role of the Bureau in implementing Federal consumer financial law, to support its examination activities under subsection (c), and to assess and detect risks to consumers and consumer financial markets.

(1)Use of existing reports

The Bureau shall, to the fullest extent possible, use—

(A)reports pertaining to a person described in subsection (a) that have been provided or required to have been provided to a Federal or State agency; and

(B)information that has been reported publicly.

(2)Preservation of authority

Nothing in this subsection may be construed as limiting the authority of the Director from requiring from a person described in subsection (a), as permitted under paragraph (1), information owned or under the control of such person, regardless of whether such information is maintained, stored, or processed by another person.

(3)Reports of tax law noncompliance

The Bureau shall provide the Commissioner of Internal Revenue with any report of examination or related information identifying possible tax law noncompliance.

(c)Examinations

(1)In general

The Bureau may, at its discretion, include examiners on a sampling basis of the examinations performed by the prudential regulator to assess compliance with the requirements of Federal consumer financial law of persons described in subsection (a).

(2)Agency coordination

The prudential regulator shall—

(A)provide all reports, records, and documentation related to the examination process for any institution included in the sample referred to in paragraph (1) to the Bureau on a timely and continual basis;

(B)involve such Bureau examiner in the entire examination process for such person; and

(C)consider input of the Bureau concerning the scope of an examination, conduct of the examination, the contents of the examination report, the designation of matters requiring attention, and examination ratings.

(d)Enforcement

(1)In general

Except for requiring reports under subsection (b), the prudential regulator is authorized to enforce the requirements of Federal consumer financial laws and, with respect to a covered person described in subsection (a), shall have exclusive authority (relative to the Bureau) to enforce such laws.

(2)Coordination with prudential regulator

(A)Referral

When the Bureau has reason to believe that a person described in subsection (a) has engaged in a material violation of a Federal consumer financial law, the Bureau shall notify the prudential regulator in writing and recommend appropriate action to respond.

(B)Response

Upon receiving a recommendation under subparagraph (A), the prudential regulator shall provide a written response to the Bureau not later than 60 days thereafter.

(e)Service providers

A service provider to a substantial number of persons described in subsection (a) shall be subject to the authority of the Bureau under section 5515 of this title to the same extent as if the Bureau were an appropriate Federal bank agency under section 1867(c) of this title. When conducting any examination or requiring any report from a service provider subject to this subsection, the Bureau shall coordinate with the appropriate prudential regulator.

Statutory Notes and Related Subsidiaries

Effective Date

Section effective on the designated transfer date, see section 1029A of Pub. L. 111–203, set out as a note under section 5511 of this title.

§5516 Other Banks, Savings Associations, and Credit Unions

Summary

Title 12, §5516

Notes & Related Subsidiaries

Statutory Notes and Related Subsidiaries

Effective Date

Citations & Metadata