Regulatory Roundup

OPEN FOR COMMENT

Basel Committee

The Basel Committee on Banking Supervision on July 30 issued a working paper on the capital treatment of expected losses and future margin income. The paper addresses some of the most controversial elements of the committee's proposal to rewrite international capital standards. There is no deadline for comment, but the Basel Committee is expected to produce its next version of the proposal for comment in early 2002. Available at www.bis.org.

Community Reinvestment Act

A proposal by bank and thrift regulators seeking comments in advance of next year's scheduled review of Community Reinvestment Act compliance rules. Regulators are considering, among other things, whether to: make examinations of lending practices at nonbank affiliates mandatory; more thoroughly scrutinize CRA loans for predatory terms; permit more banks to qualify for streamlined exams; revamp the investment test; and redefine assessment areas to account for Internet banks. Published July 19. Comments due Oct. 17.

Additionally, the regulators have revised their "Questions and Answers on Community Reinvestment" document. The new version amends several questions and adds new ones. Published July 12.

RECENT ACTIONS

Lending Limits

A rule took effect Monday that established a three-year pilot program under which national banks in 36 states can raise lending limits …

Questia, a part of Gale, Cengage Learning. www.questia.com
Publication information: Article title: Regulatory Roundup. Contributors: Not available. Magazine title: American Banker. Volume: 166. Issue: 176 Publication date: September 13, 2003. Page number: 12. © 2009 SourceMedia, Inc. COPYRIGHT 2003 Gale Group.

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