A breath of fresh air: Web Content Accessibility Guidelines updated

In an increasingly online world, financial service providers are tasked with ensuring that their websites can be accessed by all people—regardless of cognitive or physical capabilities. The risks of failure include defense of fair lending claims, given that access to credit (through the internet) should not be denied based on disability. Until the DOJ issues a statement to the contrary, companies avoiding liability and unwanted litigation should aim to fall within the W3C’s guidelines as closely as possible.

To the relief of many, this goal may be more clearly attainable in the wake of the most recent update on June 5, 2018. The W3C issued WCAG 2.1, an updated set of guidelines that builds upon previously established rules and bolsters the organization’s internet accessibility efforts.

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Compliance Management, Legal Developments

Stein to speak at 2017 MBA Regulatory Compliance Conference

Banking and financial services attorney David Stein is a featured speaker at this year’s Mortgage Bankers Association (MBA) Regulatory Compliance Conference, which takes place September 17-19 in Washington, D.C. Addressing one of the most significant issues facing banks and lenders, he will participate in a panel discussion on loan originator compensation, Truth in Lending Act (TILA) rules and the Fair Labor Standards Act (FLSA). Stein is a member of the MBA Legal Committee and a thought leader in this area. He regularly works with banks and lenders to proactively plan compensation strategies that comply with TILA and FLSA. At the conference, he will share his knowledge and experience with industry leaders, attorneys and compliance personnel. To learn more about the MBA Regulatory Compliance Conference, visit the MBA website

Compliance Management, Consumer Lending and Services

Amended Military Lending Act goes into effect on October 3; CFPB releases updated exam procedures

Today, September 30, 2016, the Consumer Financial Protection Bureau (CFPB) identified the updated exam procedures it will use to audit lenders who do business with military personnel. According to CFPB Director Richard Cordray, “[t]he updated exam procedures…will help ensure that servicemembers and their families are dealt with in a fair and safe manner when attempting to access credit.” Specifically, the requirements prohibit interest rates above 36 percent MAPR, mandatory waivers of consumer protection laws and mandatory allotments.

In its press release, the CFPB vows to strictly monitor financial institutions, their compliance programs and their “overall efforts to follow the rule’s requirements.” Evaluating everything from staff training to loan implementation, the CFPB will use the new rules to prevent substantial consumer harm. The updated Military Lending Act rules go into effect on October 3 for creditors. Credit card companies must be prepared to comply with the new rules by October 3, 2017.

Pawnbrokers make up a segment of the financial services industry that will be affected by these new rules under the Military Lending Act. Attorney, Jackie Mallett recently hosted a webinar discussing the amended rules and how they will affect the pawn industry. View the webinar in its entirety here

Compliance Management, Consumer Lending and Services, Depository Institutions, Fair Lending, Federal Regulatory, Non-Depository Institutions

David Stein authors MBA’s social media and digital advertising compliance guide

David Stein, of counsel and chair of Bricker & Eckler's Banking & Financial Services group, authored the “Social Media and Digital Advertising Resource Guide,” which was recently published by the Mortgage Bankers Association (MBA).

The resource advises financial institutions “how to manage the challenges posed by digital marketing and advertising of residential mortgage products and services,” according to the MBA. The guide examines the statutory and regulatory background related to mobile and digital marketing, and provides draft policies and procedures.

The online resource guide is available for purchase on the MBA’s website here

Compliance Management, Consumer Lending and Services

Email spoofs: Criminals posing as your government examiner

Imagine the humiliation of having to confess that your company had a data breach and inadvertently sent hundreds of loan files chock full of nonpublic personal information directly to a criminal posing as your friendly government examiner. That would not be a good day at the office.

How could this happen and what steps can you take to prevent this nightmare? Here are dos and don’ts to help you verify the identity and credentials of examiners conducting remote examinations. Read more >>

Compliance Management