The FDIC recently issued a final rule easing restrictions on bank hiring of job candidates with criminal histories.
Section 19 of the Federal Deposit Insurance Act generally prohibits banks from hiring a person convicted of an offense involving dishonesty, breach of trust or money laundering without first seeking consent from the FDIC. But in 2022, President Biden signed into law the Fair Hiring in Banking Act, which created several exclusions to the consent requirement. The FDIC’s final rule implements—and expands upon—the provisions of the Fair Hiring in Banking Act.
The final rule provides answers to various comments noted by the American Bankers Association and Consumer Bankers Association in their joint comment letter. The final rule specifically notes that crimes prosecuted by foreign authorities are within the scope of Section 19; provides a full definition of “certain crimes involving controlled substances” for Section 19 purposes; and provides much-needed certainty regarding offenses too small to justify a criminal convention (de minimis offenses).
Consumer credit increased in April
Consumer credit increased at a seasonally adjusted annual rate of 4.8% in April.
