Violations of truth-in-lending, electronic fund transfer and flood insurance regulations were among the top consumer regulatory abuses reported by bank in 2025, the federal bank deposit insurance agency said Wednesday.
In its semi-annual report on consumer compliance supervision for last year, the Federal Deposit Insurance Corp. (FDIC) said violations of truth-in-savings and home mortgage disclosure regulations rounded out the top five most-cited abuses.
In its report, the FDIC said those five areas represented 875 violations or about three in four of the total violations cited in 2025. The agency broke down the abuses as:
- 462 violations for Truth in Lending Act (TILA) with its implementing regulation, Regulation Z;
- 136 violations for Electronic Fund Transfer Act (EFTA) and its implementing regulation, Regulation E;
- 131 violations for the Flood Disaster Protection Act (FDPA) and its implementing regulation, 12 CFR Part 339;
- 74 violations for the Truth in Savings Act (TISA) and its implementing regulation, Regulation DD;
- 72 violations for the Home Mortgage Disclosure Act (HMDA) and its implementing regulation, Regulation C.
“Because the FDIC conducts consumer compliance examinations using a risk-focused methodology, the most frequently cited violations generally involve statutes and regulations that represent the greatest potential for consumer harm,” the agency said. “For example, TILA requires disclosures about mortgage costs and, if institutions do not comply with TILA, consumers could be harmed and reimbursements may be required. Moreover, the flood insurance provisions included in the FDPA ensure that consumers are protected against certain risks related to flooding if the property is located in a special flood hazard area.”
The agency noted a number of repeats among the top violations in the latest report. However, it also said EFTA moved from the fourth most frequently cited violation to the second most frequently cited violation.
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