Alternative data in credit underwriting; FRB Supervision & Regulation Report; FSOC nonbank SIFIs guidance; Revisions to CRA regulations
Federal banking agencies issued a joint statement on the use of alternative data in credit underwriting, focusing on consumer protection implications and the role of a well-designed compliance risk management program.
FRB published its annual Supervision and Regulation Report indicating risk management weaknesses persist in the areas of compliance, internal controls, model risk, operational risk, IT (including cybersecurity), and BSA/AML.
FSOC issued final guidance for designating nonbank SIFIs that uses an activities-based approach.
Proposed revisions to the CRA regulations are anticipated by year end without full interagency participation; goal is to issue joint final rule.