Tennessee Bankers

This Week Newsletter

May 31, 2016 - Issue No. 1622

House Spending Bill Includes CFPB Reforms

The House Appropriations subcommittee on financial services last Wednesday, May 25, passed its fiscal year 2017 spending bill, which includes CFPB reforms. The bill would replace the director with a bipartisan five-member commission and fund it through congressional appropriations, rather than directly from the Federal Reserve. It also would stop the CFPB's rulemaking process limiting the usefulness of arbitration agreements.

The spending bill would provide full funding for the Small Business Administration's 7(a) and 504 business loan programs. It also includes a measure changing the U.S. Bankruptcy Code to facilitate the orderly resolution of a failing financial firm. Click here to read more.

CFPB Updates Rulemaking Agenda for Remainder of Year

The CFPB has updated its rulemaking agenda for the remainder of 2016. According to the agenda, the bureau expects to issue final rules on consumer protections for prepaid cards and on mortgage servicing early this summer.

The bureau is expected to release a proposed rule on small-dollar loans on Thursday, June 2. In addition to the proposed rule on arbitration agreements issued earlier this spring, the CFPB also said it is working on proposed rules related to appraisals and providing clarity on the TILA-RESPA integrated disclosures. It is also continuing with its early-stage rulemaking activities on overdrafts, debt collection, and lending to small businesses. Click here to view the agenda.

CFPB Hosting Roundtable in Memphis on June 10

The CFPB will host a banker outreach and roundtable discussion in Memphis on June 10 from 9:30 – 10:30 a.m.  CFPB staff will discuss their regulatory agenda and hear from bankers about their questions and concerns regarding the bureau's already issued and upcoming rules. 
To attend the event, please email Amy Heaslet at the TBA office. Space is limited, so seats will be given on a first come, first-served basis.

FDIC: Mobile Banking Can Help Underserved Consumers

The FDIC last Wednesday, May 25, released a report identifying strategies for financial providers and ways mobile banking can help meet the needs unbanked and underbanked consumers.   

The six strategies identified in the report include improving customer access to timely account information, expediting access to money, making banking more affordable through better account management, addressing real and perceived security shortfalls, increasing awareness of mobile tools, and encouraging long-term financial management.

Mobile is an especially promising channel for reaching the underbanked, the FDIC said, noting that underbanked households are four percentage points more likely to have a smartphone than fully banked households. More than 90 percent of underbanked millennials—those aged between 18 and 34—have smartphone access.

Bankers are invited to provide feedback on how they are employing these strategies currently, how best to shape a demonstration project, and how interested they are in participating in a demonstration. Comments are due by June 15 and may be emailed to MFSDemonstration@fdic.govRead the report.

What's Inside The Tennessee Banker May/June Issue

The May/June issue of The Tennessee Banker has arrived around the state. Inside the pages you'll find our member feature story on Tommy Whittaker, The Farmers Bank, Portland, a column from Commissioner Greg Gonzales, a recap of two major Young Bankers Division events—Day on the Hill and Leadership Convention, a question and answer column with YB Chairman Chris Schlueter, FirstBank, Nashville,  photo recaps from the Legislative Reception and Credit Conference, an introduction to Ncontracts—TBA's newest endorsed partner, plus much more original content only found within the covers of TBA's membership magazine.

Welcome New Associate Member

TBA welcomes new associate member Provident Commercial Finance, an accounts receivable factoring company who supports TBA member banks by growing noninterest revenue, core deposits, treasury penetration, and the incubation of future, quality asset additions to their balance sheets.  Please thank this company for their support of the Tennessee banking industry through membership and learn more about all of TBA's associate members in our online directory.

TBA On the Road

  • Stacey Langford visits members in East Tennessee.
  • 650 Tennessee bankers, industry partners and their guests travel to Charleston, SC for the 126th Annual Meeting.
  • Retail banking officers and senior bank marketing directors attend their third and final sessions of their respective TBA forums and series in Nashville.

See where TBA goes while "on the road" by following

@TNBankers or  #TBAontheroad