Compliance Blog

By Kevin Shaw, Senior Regional Director Over the last several years, Bank Secrecy Act (BSA) and Office of Foreign Asset Control (OFAC) are major focuses for state and federal regulators. Back in February 2018, Pat Voss shared a blog that provided critical information and resources on BSA and OFAC risk assessments. Risk assessments continue ...

By Katherine Romano Schnack, VP Legal, LSC Synthetic identity fraud continues to be a challenge for financial institutions big and small across the United States. Do you know the basics of synthetic identity fraud? A recent white paper issued by the Federal Reserve is a great place to learn more about synthetic identity theft. ...

By: Shannon Basile, Compliance Analyst Recently the ICUL Compliance team has received some questions about the U.S. Department of the Treasury’s Office of Foreign Assets Control (OFAC) compliance and how it should be applied to the credit union’s operations. As many of you know, OFAC compliance is not a one size fits all set of ...

By: Robin Hollis, Regional Director When your regulators start talking CDD you can trust that they are not talking about alphabet soup. Customer Due Diligence (CDD) is the new fifth pillar of the Bank Secrecy Act (BSA). The new rule on CDD issued by Financial Crimes Enforcement Network (finCEN) aims to increase financial transparency ...

By: Ashley Niebur Sharp, VP State Advocacy & Legislative Counsel Illinois Vehicle Title Fees Increase, Annual Registration Fees and Sales Tax on Trade-Ins Set to Increase January 1, 2020. As part of the state budget passed by the Illinois General Assembly during the spring legislative session, increases in titling and registration fees for motor vehicles in the ...

By Katherine Romano Schnack, VP Legal, LSC Credit unions have an opportunity to engage in the planning of a major development in the payments industry—the Federal Reserve’s real-time FedNow Service. Click here for a quick primer on the FedNow Service and ways for your credit union to get involved with the Fed’s faster payments initiatives.

By: Pat Voss, AVP Member Outreach For my blog this week I would like to share an interesting article from CUNA Mutual Group regarding how fraudsters are finding ways to take advantage of weak member authentication methods. Check who’s knocking at your door Fraudsters are learning to exploit weak member authentication methods. The online channel is a critical ...

By: Shannon Basile, Compliance Analyst Reclamation is the process used by the Federal government to recover benefit payments made through the Automated Clearing House (ACH) after the beneficiary’s death or after a recipient dies or becomes legally incapacitated. It is important credit unions understand how to process reclamation requests from the Federal government and how to ...

By: Kari Osier, Compliance Specialist The Social Security Administration (“SSA”) has developed a portal that allows financial institutions to join an electronic system to verify a credit applicant’s identity, called the Consent Based Social Security Number Verification (eCBSV). The Economic Growth, Regulatory Relief and Consumer Protection Act (“EGRRCPA”), which was signed into law last year, directed ...

By: Kevin Shaw, Senior Regional Director In recent years, Community Development Financial Institution Certification (CDFI) has become a hot topic. CDFI was considered the best kept secret among credit unions, but not anymore. We often receive questions from credit unions about CDFI. What is it? What do we have to do to ...