Regulatory Compliance Update January 2014

By: Hickman Beckner, Vice President

Several CFPB Regulatory Compliance Updates go into effect; Shaw can help you comply with Biggert-Waters

CFPB
January 10 was the effective date for the mortgage statement changes mandated by the CFPB. Shaw’s RETAIL and COMMERCIAL teams worked for half a year to make all of the necessary system modifications. Once the code was delivered, we helped clients via phone consultations to help them successfully implement the changes. Additional CFPB mortgage regulations went into effect covering loan originator compensation, the consumer’s ability to repay a mortgage, high-cost mortgages, and homeownership counseling. As of March 1, the CFPB started supervision of non-bank student loan servicers. The Bureau has also declared that their mandate includes debt collection, which could impact financial institutions’ in-house collection procedures.

Flood Insurance Reform and Modernization Act
We want to remind everyone about the Biggert-Waters Flood Insurance Reform and Modernization Act. The initial July 7 deadline might be delayed due to recent bills introduced in Congress, but we expect the rules to go into effect at some point in the future. Our RETAIL and COMMERCIAL clients can be assured that our systems are equipped to handle the Act’s requirements. Not a Shaw client? We can help your institution become compliant! See the related article. In addition to the regulatory news we share here in the pages of Connected magazine, during User Advisory Board conference calls, and in the Client Solution Center, we send Shaw clients comprehensive monthly regulatory compliance updates via email. If you have concerns about any regulatory issues that may affect your Shaw software, please contact me at hbeckner@shawsystems.com.