AML Compliance

NCUA Extends 18% Loan Interest Rate Ceiling for Federal Credit Unions

The National Credit Union Administration (NCUA) has extended the temporary 18% interest rate ceiling for loans made by federal credit unions. This extension, approved by the NCUA Board, will now last through September 10, 2027, providing continued flexibility for consumer lending.

NCUA 2026 Supervisory Priorities

The National Credit Union Administration (NCUA) has released its supervisory priorities for 2026, focusing on areas posing the highest risk to credit union members and the Share Insurance Fund. Key areas include balance sheet management, particularly lending practices, due to recent declines in loan performance and rising delinquency rates.

NCUA Removes Reputation Risk from Banking Guidance

The National Credit Union Administration (NCUA) has removed reputation risk from its examination and supervisory guidance, effective September 25, 2025, in accordance with Executive Order 14331. This change directs NCUA employees to no longer base supervisory concerns on reputation risk when examining federally insured credit unions.

NCUA Removes Disparate Impact References from Guidance

The NCUA has removed references to disparate impact liability from its Fair Lending Guide and other issuances, consistent with Executive Order 14281. Examiners will no longer request or review information related to a credit union's disparate impact risk.

Federal Credit Union Operating Fees Decrease for 2026

The NCUA announced that federal credit union operating fees will decrease by an average of 24.65% in 2026 due to budget reductions and repurposed funds. The exemption threshold for these fees has also been increased. Invoices will be issued in March 2026, with payment due by April 17, 2026.

FAQs on Suspicious Activity Reporting for Bank Holding Companies

The Federal Reserve, along with other financial regulators, has issued Frequently Asked Questions (FAQs) to clarify Suspicious Activity Reporting (SAR) requirements for financial institutions. These FAQs aim to assist institutions with their compliance obligations under the Bank Secrecy Act and do not alter existing regulations.

FinCEN Special Measures Imposed on Financial Institutions

The Federal Reserve issued SR 25-3 to inform supervised financial institutions about special measures imposed by FinCEN under the USA PATRIOT Act and other acts. These measures create legal obligations for institutions dealing with entities designated as primary money laundering concerns.

Federal Reserve Statement on Regulation O and FDIC Reporting for Investment Funds

The Federal Reserve issued a statement clarifying its enforcement discretion regarding Regulation O and FDIC reporting for certain investment funds. This guidance applies to banks and their principal shareholders, specifically asset managers, and provides temporary relief from certain credit extension restrictions.

OFAC Issues Russia-related General License 134 on Crude Oil

The Department of the Treasury's Office of Foreign Assets Control (OFAC) has issued Russia-related General License 134, authorizing the delivery and sale of crude oil and petroleum products of Russian Federation origin loaded on vessels as of March 12, 2026. This license provides specific exceptions to sanctions for certain oil transactions.

ISO 20022 Payments Standard Deadline Approaching

SWIFT has issued a notice reminding financial institutions that the ISO 20022 standard for cross-border payments will become mandatory on November 22, 2025, ending the coexistence period with older MT formats. Institutions must complete their migration and testing to avoid disruptions and potential charges.

ISO 20022: AI for Structured Postal Data Transition

SWIFT is providing an open-source AI solution to help financial institutions transition from unstructured to structured postal data for ISO 20022 payment messages. This is a mandatory change required by November 2026 to avoid message rejection and ensure data integrity for AML efforts.

ISO 20022 Becomes Standard for Cross-Border Payments

As of November 22, 2025, ISO 20022 is the mandatory standard for cross-border payments, replacing the MT message format. This change aims to enhance efficiency, data richness, and compliance for financial institutions worldwide, supporting G20 goals for international payments.

BCBS 239 Principles for Risk Data Aggregation and Reporting

The Basel Committee on Banking Supervision (BCBS) published a newsletter on January 6, 2026, summarizing key themes and challenges in implementing the BCBS 239 principles for risk data aggregation and reporting. The newsletter highlights the ongoing importance of these principles for banks, particularly systemically important banks (SIBs), and discusses evolving implementation practices.

Basel Committee Analysis of Synthetic Risk Transfers

The Basel Committee on Banking Supervision has published a report analyzing Synthetic Risk Transfer (SRT) transactions, which allow banks to transfer credit risk to counterparties. The report notes the rapid growth of SRT markets, with protected assets averaging 1.1% of total bank assets globally.

Non-Maturity Deposit Stability and Depositor Outflows Literature Review

The Bank for International Settlements (BIS) published a working paper reviewing literature on non-maturity deposit stability and depositor outflows. The paper examines whether recent banking turmoil indicates changes in deposit behavior due to technological, competitive, or regulatory shifts, concluding that while changes may have affected stability, traditional factors remain significant drivers.

Basel Committee Newsletter on Supervisory Effectiveness and Risks

The Basel Committee on Banking Supervision has released a newsletter discussing efforts to strengthen supervisory effectiveness following the 2023 banking turmoil. It shares information on supervisory practices related to liquidity risk, interest rate risk in the banking book, and business model analysis, intended for supervisors' day-to-day activities.

Basel Committee Consolidates Banking Guidelines and Sound Practices

The Basel Committee on Banking Supervision has launched a new website section consolidating its banking guidelines and sound practices. This initiative aims to improve accessibility for banks and supervisors. A consultative document is open for feedback until June 26, 2026.

FATF Plenary Outcomes: Fraud Prevention, New Publications, Monitoring

The Financial Action Task Force (FATF) has published the outcomes of its February 2026 Plenary meeting. Key initiatives include enhanced efforts to combat fraudsters, the release of new publications, and increased monitoring of member countries' compliance with anti-money laundering and counter-terrorist financing standards.

FATF Plenary Outcomes: Revised Standards and Russia Suspension

The Financial Action Task Force (FATF) Plenary outcomes include revised standards and country updates. Notably, Russia's membership has been suspended, impacting its participation in FATF activities and potentially international financial relations.

FATF Plenary Outcomes: Argentina, Oman Reports, Senegal Monitoring

The Financial Action Task Force (FATF) has published the outcomes of its recent plenary meeting. Key discussions included reports on Argentina and Oman, as well as ongoing monitoring of Senegal. These outcomes provide updates on the FATF's global efforts against money laundering and terrorist financing.

FATF-MONEYVAL Plenary Strengthened Efforts Against Criminal Activity

The FATF and MONEYVAL Plenary meeting in June 2025 discussed strengthened efforts against criminal activity. The outcomes highlight ongoing international cooperation and policy discussions aimed at combating financial crime.

FATF Plenary: Asset Recovery Guidance Approved

The Financial Action Task Force (FATF) Plenary has approved new guidance on asset recovery, aimed at depriving criminals of their illicit gains. This guidance provides updated recommendations and best practices for member countries to enhance their efforts in tracing, freezing, and confiscating criminal assets.

Press Briefing for General Affairs Council

The Council of the EU has issued a media advisory for a press briefing concerning the General Affairs Council meeting on March 17, 2026. The briefing will take place on March 13, 2026, and is designated as 'off the record'. Journalists must register by March 13, 2025, to participate.

European Council Invitation: Middle East, Ukraine, Competitiveness, MFF

European Council President António Costa has invited members to a meeting on March 19-20, 2026, to discuss the Middle East escalation, Ukraine, strategic competitiveness, the Multiannual Financial Framework, defense readiness, and migration. The invitation outlines key agenda items and the urgency of coordinated responses.

EU Statement on Countries Aligning with Terrorist List Update

The EU has issued a statement noting that several non-EU countries have aligned with a recent Council Decision updating the EU's terrorist list. This alignment means these countries will conform their national policies to the updated list of individuals and entities subject to restrictive measures.

EU Council Press Briefings for Transport, Energy, and Environment Councils

The Council of the EU has issued a media advisory for press briefings preceding the Transport, Telecommunications and Energy Council (Energy) on March 16 and the Environment Council on March 17, 2026. Journalists are invited to register for a hybrid format briefing by March 13, 2026.

EU Statement on Restrictive Measures Against Terrorism

The EU has issued a statement regarding Council Decision (CFSP) 2026/455, which updates restrictive measures to combat terrorism. This decision repeals previous articles and expands the scope for imposing measures against individuals and entities associated with terrorist acts.

OFAC Designations and Removals - Counter Terrorism, North Korea, Narcotics

The US Treasury's Office of Foreign Assets Control (OFAC) has updated its Specially Designated Nationals (SDN) List with new designations related to counter-terrorism, North Korea, and narcotics. These updates include adding individuals involved in facilitating North Korea sanctions evasion and disrupting illicit networks.

USTR Section 301 Investigations into Excess Capacity

The U.S. Trade Representative (USTR) has initiated Section 301 investigations into structural excess capacity and production in 16 economies. The USTR is seeking public comments on these investigations, with a deadline of April 15, 2026.

FSA, SEC Hold Spring Financial Regulatory Dialogue

The Financial Services Agency of Japan (FSA) and the U.S. Securities and Exchange Commission (SEC) held their Spring Financial Regulatory Dialogue in Tokyo on February 27, 2026. The meeting focused on cross-border issues, market developments, and regulatory matters including digital assets.

FSA AI Discussion Paper Update for Financial Sector

The Financial Services Agency (FSA) of Japan has published Version 1.1 of its AI Discussion Paper, updating its previous 2025 version. This revision incorporates insights from public-private forums on AI utilization and risk management in the financial sector. The FSA is seeking comments on the paper to inform future policy development.

FSA Publishes English Version of Analytical Notes (2026.3)

The Financial Services Agency (FSA) of Japan has published the English version of its "FSA Analytical Notes (2026.3)". This publication provides analysis on financial markets and related topics, with specific notes on the OTC derivatives market.

FSA Analytical Notes on Regional Banks and Talent

The Financial Services Agency (FSA) of Japan has published its "FSA Analytical Notes (2026.2)", focusing on the analysis of human resource support by regional banks and talent shortages in firms. An English version is expected to be released shortly.

FSA: Bank Loans Total 8.0 Trillion Yen as of Sep 2025

The Financial Services Agency (FSA) of Japan has published its provisional translation of the status of loans held by all banks as of the end of September 2025. Total loans amounted to 8.0 trillion yen, a decrease of 0.4 trillion yen from the previous period.

Hong Kong Green Week 2026 Announced

The Hong Kong Monetary Authority has announced the return of Hong Kong Green Week 2026, scheduled for September 7-11. This flagship sustainability event will focus on "Future-proofing Sustainable Growth" and will feature conferences, forums, and satellite events coordinated by the HKMA.

Exchange Fund Bills Tender Results Announced

The Hong Kong Monetary Authority announced the tender results for Exchange Fund Bills on March 10, 2026. The results detail the amounts applied for and allotted, along with accepted yields for various bill issuances.

HKMA Scam Alert: Fraudulent Bank Websites and Scams

The Hong Kong Monetary Authority (HKMA) issued a scam alert on March 10, 2026, to warn the public about fraudulent websites and scams reported by several banks. The alert provides guidance on identifying and reporting such incidents.

HKMA Scam Alert: Fraudulent Websites and Scams Targeting Bank Customers

The Hong Kong Monetary Authority (HKMA) has issued a scam alert regarding fraudulent websites and scams targeting bank customers. The alert highlights specific instances reported by The Bank of East Asia and Shanghai Commercial Bank Limited, warning the public about phishing attempts and advising on protective measures.

Capital Asia Investments Investigated for Money Laundering and Compliance Failures

The Monetary Authority of Singapore (MAS) and the Police are investigating Capital Asia Investments Pte Ltd and its directors for suspected money laundering and compliance failures. Over S$160 million in assets were seized, and two directors were arrested as part of the ongoing investigation.

MAS Issues Environmental Risk Transition Planning Guidelines

The Monetary Authority of Singapore (MAS) has issued new Guidelines on Environmental Risk Management - Transition Planning for banks, insurers, and asset managers. These guidelines set supervisory expectations for managing climate-related transition and physical risks, taking effect from September 2027.

Federal Reserve Consent Order with Jamal Hillman

The Federal Reserve Board has issued a consent prohibition order against Jamal Hillman, a former employee of First Financial Bank, for misappropriation of customer funds. This enforcement action prohibits Mr. Hillman from participating in the banking industry.

Federal Reserve Enforcement Actions for Embezzlement

The Federal Reserve Board announced enforcement actions against two former bank employees for embezzlement and misappropriation of funds. Jacob Hilton, formerly of United Bank, and Klaus Koberstein, formerly of East Cambridge Savings Bank, have each received consent prohibition orders.

Federal Reserve Issues Consent Order Against Former Regions Bank Employee

The Federal Reserve Board has issued a consent prohibition order against Nicole M. Ramsey, a former employee of Regions Bank. The action stems from the misappropriation of customer funds. This enforcement action signifies the Federal Reserve's commitment to upholding standards of conduct within the banking sector.

Federal Reserve Board Enforcement Action Against Former PrimeLending Employee

The Federal Reserve Board has issued a consent prohibition order against Aquana Raffington, a former employee of PrimeLending. The action addresses conflicts of interest and fraud, with no monetary penalty imposed.

New York Behavioral Health Treatment Access Campaign Launched

Governor Hochul has launched a public awareness campaign to educate New Yorkers on accessing behavioral health treatment. The campaign aims to inform individuals about their rights and available resources for mental health and substance use disorder services.

Statement on FY 2027 Executive Budget Hearing

New York State Department of Financial Services Acting Superintendent Kaitlin Asrow delivered a statement at a joint legislative public hearing on the FY 2027 Executive Budget, focusing on economic development. The statement outlines the DFS's priorities and budget requests for the upcoming fiscal year.

New York Designates Butternut Valley Banking Development District

New York State Comptroller DiNapoli and the Department of Financial Services (DFS) have designated the Butternut Valley as a Banking Development District. This designation aims to support community banking and economic development in the region.

Jericho Share Ceases NY Operations for Selling Unlicensed Health Insurance

The New York State Department of Financial Services announced that Jericho Share has agreed to cease all operations in New York for selling unlicensed health insurance plans. This action follows an investigation into the company's activities.

New York Regulation for Buy Now, Pay Later Loans

New York Governor Kathy Hochul announced a new regulation establishing comprehensive consumer protections for Buy Now, Pay Later (BNPL) loans. This regulation aims to provide a framework for BNPL services operating within the state, ensuring greater transparency and fairness for consumers.

NCUA Share Insurance Fund Results - Q4 2025

The National Credit Union Administration (NCUA) released the Share Insurance Fund results for the fourth quarter of 2025. The fund reported a net income of $113.8 million and held $24.1 billion in assets. The report also noted a decrease in credit unions with composite CAMELS codes 3, 4, and 5, with no federally insured credit union failures during the quarter.