Featured Product

    FED Revision to Reserve Requirements Impacts FR Y-9C and Call Reports

    May 01, 2020

    FED announced an interim final rule to amend Regulation D on reserve requirements of depository institutions due to the financial disruptions related to COVID-19 outbreak. FED is amending Regulation D to delete the six-per-month limit on convenient transfers from the "savings deposit" definition. The amendments are intended to allow depository institution customers more convenient access to their funds and to simplify account administration for depository institutions. FED is also making temporary revisions to the financial statements for holding companies (FR Y-9 reports) and FFIEC call reports, among others, to reflect the amendments to Regulation D. This interim rule became effective on April 24, 2020 while comments on the rule must be received by June 29, 2020.

    This interim final rule includes deletion of provisions in the “savings deposit” definition that require depository institutions to either prevent transfers and withdrawals in excess of the limit or to monitor savings deposits ex-post for violations of the limit. The rule also makes conforming changes to the other definitions in Regulation D that refer to “savings deposit” as necessary. The regulatory limit in Regulation D was the basis for distinguishing between reservable "transaction accounts" and non-reservable "savings deposits." The recent action of FED reducing all reserve requirement ratios to zero has rendered this regulatory distinction unnecessary.

    The interim final rule allows depository institutions to immediately suspend enforcement of the six transfer limit and to allow their customers to make an unlimited number of convenient transfers and withdrawals from their savings deposits. The rule permits, but does not require, depository institutions to suspend enforcement of the six transfer limit. It also does not require any changes to the deposit reporting practices of depository institutions. The changes to the numeric limits on certain kinds of transfers and withdrawals that may be made each month from accounts characterized as “savings  deposits” were applicable on April 23, 2020.

    FED has temporarily revised the instructions for FR Y-9C reports to accurately reflect aspects of the interim final rule. The agencies have determined that certain revisions should be made to the affected FFIEC reports as a result of this rule making. The changes should be minimal and result in a zero net change in hourly burden. Submissions will, however, be made by the agencies to OMB.

     

    Related Links

    Comment Due Date: June 29, 2020

    Effective Date: April 24, 2020

    Keywords: Americas, US, Banking, COVID-19, Reporting, Regulation D, Reserve Requirement, FR Y-9C, Call Reports, FFIEC, FED

    Featured Experts
    Related Articles
    News

    PRA Finalizes Supervisory Approach for Non-Systemic Banks in UK

    PRA published the policy statement PS8/21, which contains the final supervisory statement SS3/21 on the PRA approach to supervision of the new and growing non-systemic banks in UK.

    April 15, 2021 WebPage Regulatory News
    News

    EBA Finalizes Standards on Methods of Prudential Consolidation

    EBA published a report that sets out the final draft regulatory technical standards specifying the conditions according to which consolidation shall be carried out in line with Article 18 of the Capital Requirements Regulation (CRR).

    April 15, 2021 WebPage Regulatory News
    News

    EBA Updates List of Other Systemically Important Institutions in EU

    EBA updated the list of other systemically important institutions (O-SIIs) in EU.

    April 15, 2021 WebPage Regulatory News
    News

    BCBS Report Concludes Basel Risk Categories Can Capture Climate Risks

    BCBS published two reports that discuss transmission channels of climate-related risks to the banking system and the measurement methodologies of climate-related financial risks.

    April 14, 2021 WebPage Regulatory News
    News

    UK Authorities Welcome FSB Review of their Remuneration Regime

    UK Authorities (FCA and PRA) welcomed the findings of FSB peer review on the implementation of financial sector remuneration reforms in the UK.

    April 14, 2021 WebPage Regulatory News
    News

    PRA and FCA Letter on Addressing Risks from Use of Deposit Aggregators

    PRA and FCA jointly issued a letter that highlights risks associated with the increasing volumes of deposits that are placed with banks and building societies via deposit aggregators and how to mitigate these risks.

    April 14, 2021 WebPage Regulatory News
    News

    MFSA to Amend Banking Act and Rules in Coming Months to Transpose CRD5

    MFSA announced that amendments to the Banking Act, Subsidiary Legislation, and Banking Rules will be issued in the coming months, to transpose the Capital Requirements Directive (CRD5) into the national regulatory framework.

    April 14, 2021 WebPage Regulatory News
    News

    EC Delegated Regulation on Specialized Lending Exposures Under CRR

    EC finalized the Delegated Regulation 2021/598 that supplements the Capital Requirements Regulation (CRR or 575/2013) and lays out the regulatory technical standards for assigning risk-weights to specialized lending exposures.

    April 14, 2021 WebPage Regulatory News
    News

    OSFI Proposes to Enhance Assurance Expectations for Basel Returns

    OSFI launched a consultation to explore ways to enhance the OSFI assurance over capital, leverage, and liquidity returns for banks and insurers, given the increasing complexity arising from the evolving regulatory reporting framework due to IFRS 17 (Insurance Contracts) standard and Basel III reforms.

    April 13, 2021 WebPage Regulatory News
    News

    ECB Issues Results of Benchmarking Analysis of Recovery Plans of Banks

    ECB published results of the benchmarking analysis of the recovery plan cycle for 2019.

    April 13, 2021 WebPage Regulatory News
    RESULTS 1 - 10 OF 6858