A federal district court on Tuesday upheld the OCC’s and FDIC’s “valid-when-made” rules in separate rulings. The agencies’ rules had affirmed that permissible interest on a loan made by a national or state-chartered bank or federal thrift remains valid when the loan is transferred or sold.
The Office of the Comptroller of the Currency issued an interpretive letter last Friday that sets out how it interprets the preemption standards and requirements in the Dodd-Frank Act and describes its framework for compliance.
Acting Comptroller of the Currency Brian Brooks will focus on promoting “responsible innovation” in the banking sector and continuing OCC modernization, he said in a statement upon taking office from former Comptroller Joseph Otting.
The OCC issued a long-awaited final rule today affirming that permissible interest on a loan made by a national bank or federal thrift remains valid when the loan is transferred or sold, codifying the “valid when made” principle for nationally chartered banks.
ABA today expressed support for the FDIC’s proposal to codify that permissible interest on loans made by state-chartered banks and insured branches of foreign banks remains valid when a loan is transferred or sold.
ABA yesterday expressed support for the OCC’s long-awaited regulatory solution affirming that permissible interest on a loan made by a national bank or federal thrift remains valid when the loan is transferred or sold.
Signs of moxie from the OCC and FDIC? The agencies are wading into the preemption waters to defend the “valid when made” doctrine.
Following action by the OCC yesterday, the FDIC proposed a rule stipulating that interest rates valid when the loan is made by a bank remain valid when the loan is transferred or sold.
Providing a long-awaited regulatory solution to court rulings challenging the principle, the OCC today proposed that interest rates valid when the loan is made by a national bank or federal thrift remain valid when the loan is transferred or sold.
As the Treasury prepares to issue its report on nonbank fintech issues, ABA today released a white paper featuring several fintech policy recommendations that would facilitate innovation both inside and outside of the regulated banking system and promote partnerships between banks and nonbanks.