“Lending and investment” regulations for savings and loans and other thrifts will be rescinded under a final rule to be published early next week, and be replaced by rules already on the books for banks, according to a notice released Friday.
The Federal Deposit Insurance Corp. (FDIC) expects to publish Monday in the Federal Register the rule that would remove regulations transferred from the former federal Office of Thrift Supervision (the regulator of savings and loans and other thrifts) because, the agency said, they are “unnecessary, redundant, or duplicative of existing FDIC regulations.”
The FDIC also said the final rule (effective 30 days after publication in the Register) would amend certain sections of existing FDIC regulations governing real estate lending standards to make them applicable to all insured depository institutions for which the FDIC is the appropriate federal banking agency. The final rule would also, the FDIC said, rescind and remove “Registration of Residential Mortgage Loan Originators” regulations because supervision and rulemaking authority in that area was transferred to the Consumer Financial Protection Bureau (CFPB) by the 2010 Dodd-Frank Wall Street Reform and Consumer Protection Act (Dodd- Frank Act).
The FDIC first proposed the changes in February, collecting comments for 60 days. The agency said it received no comments on the proposal, and “consequently the final rule is adopted without change.”