ViClarity Compliance Update

NCUA Issues Supervisory Priorities for 2024; FinCEN seeking comments on collected information; proposed rule to combat money laundering, and more. 

The Dakota Credit Union Association’s dues-supported compliance solution –  ViClarity – is a world leader in credit union compliance. To read the complete articles/answers that are linked, you will need to log in with your username and password. If you have questions about establishing your members-only account with ViClarity, click here for detailed instructions or contact John Alexander in the DakCU office.

NCUA Issues Supervisory Priorities
The National Credit Union Administration (NCUA) has issued its Supervisory Priorities for 2024, noting that despite economic disruption within the financial industry, the credit union system has remained stable in its performance and relatively resilient. For 2024, the NCUA has determined that the following areas will be its supervisory focus:

• Credit Risk
• Liquidity Risk
• Consumer Financial Protection
• Information Security (Cybersecurity)
• Interest Rate Risk.

 
Credit Unions should be aware that NCUA will continue to conduct onsite and offsite examination and supervision activities, where appropriate. NCUA will also be continuing its Small Credit Union Exam Program in most federal credit unions with assets of $50 million or less. However, for all other credit unions, NCUA examiners will continue to use its risk-focused examination procedures. Click here to learn more.
 
FinCEN Seeks Comments on Information to be Collected
The Financial Crimes Enforcement Network (FinCEN) is seeking comments on the information to be collected from certain authorized recipients requesting access to beneficial ownership information (BOI), which is consistent with the requirements of the final Access and Safeguards rule. Comments are needed on two different areas. First, FinCEN is seeking comments on the information not to be collected from certain persons requesting BOI information from FinCEN. Second, they are seeking comments on FinCEN’s estimate of the burden involved in the information collection. The deadline for comments to be submitted is April 1, 2024. Click here for background information and to read full article.
 
FinCEN Proposes Rule to Combat Money-Laundering
The Financial Crimes Enforcement Network (FinCEN) proposed a rule which is aimed at combatting money laundering and promoting transparency in residential real estate. The proposed rule would require specific professionals who handle or perform real estate closings and settlements to report information to FinCEN on non-financed transfers of residential real estate to legal entities or trusts. The proposal is intended to target real estate transfers which are a high-risk for money laundering while balancing the need to minimize business burden. The proposed rule would not require any information to be reported if the transfer was made to an individual rather than a legal entity or trust. Read more on the topic here.