Banking and Finance Law Daily Wrap Up, WORTH NOTING—Other regulatory, legislative, litigation, and industry developments, (Sep 12, 2025)

By WK Editorial Staff

A weekly roundup of other items of interest to the banking and finance law community.

BANK SECRECY ACT—The Federal Deposit Insurance Corporation has proposed a new information collection titled the "Survey of the Costs of AML/CFT Compliance." This initiative aims to gather data on the direct compliance costs related to Anti-Money Laundering and Countering the Financing of Terrorism (AML/CFT) for FDIC-supervised insured depository institutions. The survey targets insured state nonmember banks, estimating a total reporting burden of 15,424 hours, with 1,928 respondents expected to spend approximately 8 hours each completing it. The FDIC seeks comments on the necessity and utility of the information collection, the accuracy of burden estimates, ways to enhance the quality of the data, and methods to minimize respondent burden. Responses will not be used for supervisory purposes, and the survey is voluntary. Comments are due by Nov. 12, 2025.

BANK SECRECY ACT—In an initiative spearheaded by Rep. Warren Davidson (R-Ohio) and Sen. Jim Banks (R-Ind.), Republicans in the U.S. House and Senate have transmitted a joint letter to Treasury Secretary Scott Bessent, urging the Treasury Department to exempt U.S. businesses from the Corporate Transparency Act’s (CTA’s) “Beneficial Ownership Information (BOI)” reporting requirements. In their Sept. 8, 2025, letter, Davidson, Banks, and 85 other Congressional Republicans wrote, “As Congress works to provide long-term relief from the CTA, we urge the Department of Treasury and FinCEN [Financial Crimes Enforcement Network] to promulgate a final rule that exempts U.S. businesses from the CTA.” Among other things, the letter maintains that the BOI reporting requirements do not effectively target the real criminal culprits and instead burden small businesses with “unnecessary red tape.” In addition, the letter argues that criminals operating with shell companies “do not fear the harsh civil and criminal penalties” associated with a failure to comply with the CTA mandate.

CONSUMER FINANCIAL PROTECTION BUREAU—The Consumer Financial Protection Bureau has published its semiannual regulatory agenda as part of the Spring 2025 Unified Agenda of Federal Regulatory and Deregulatory Actions. The agenda lists the regulatory matters the CFPB reasonably anticipates, as of April 21, 2025, that it will have under consideration during the period from June 2025 to May 2026. The agency rule list includes prerule, proposed rule and final rule stages, completed actions, and long-term actions.

FAIR CREDIT REPORTING—United States Rep. French Hill (R-Ark.), Chair of the House Financial Services Committee, commended President Donald Trump’s September 5th signing of the Homebuyers Privacy Protection Act (H.R. 2808) into law. The new law amends the Fair Credit Reporting Act to “prevent consumer reporting agencies from furnishing consumer reports under certain circumstances.” In a statement, Rep. Hill emphasized that the Homebuyers Privacy Protection Act provides “commonsense guardrails” by, among other things, ending mortgage “trigger leads”—the practice of selling information to lenders on consumers who apply for mortgage loans. Noting that the bipartisan law protects homebuyers’ personal financial information and encourages “competition and choice in the mortgage market,” Hill thanked Reps. John Rose (R-Tenn.) and Ritchie Torres (D-N.Y.) “for their tireless work on this issue over the last two Congresses.”

FINANCIAL STABILITY—The Financial Stability Oversight Council (FSOC) has released the minutes of its June 4, 2025, meeting. The meeting focused on key updates across several financial sectors. FSOC Chair Scott Bessent initiated discussions with an update on bank supervision and regulation, highlighting efforts to streamline regulatory frameworks to better support economic growth. Jerome Powell, Chair of the Board of Governors of the Federal Reserve System, detailed initiatives aimed at recalibrating leverage ratios and encouraging banking innovation. Digital assets were another focal point, with Tyler Williams from the Treasury Department provided insights into ongoing regulatory efforts following recent executive orders aimed at enhancing U.S. leadership in digital financial technology. Commercial real estate's stability and risk management were assessed, with presenters noting a stabilization in the market despite ongoing challenges such as higher interest rates and increased delinquencies. The meeting also delved into corporate credit, where Karen Shultz from the Treasury Department noted robust corporate fundamentals but highlighted the stress on lower-rated credits amid market volatility. The session concluded with the unanimous approval of the minutes from the March 20, 2025, meeting and a discussion on preparations for a cybersecurity tabletop exercise, emphasizing interagency coordination and disaster recovery.

FINANCIAL TECHNOLOGY—Senate Democrats have released their own proposed framework for a digital asset market structure. The six-page document includes proposal to clarify regulator jurisdiction over digital assets, as well as inclusion of asset issuers and trading platforms into the current regulatory structure. The document also includes guidelines on preventing corruption, abuse and illicit finance. The framework was a joint effort of Sens. Angela Alsobrooks (D-Md.), Lisa Blunt Rochester (D-Del.), Cory Booker (D-N.J.), Catherine Cortez Masto (D-Nev.), Sens. Ruben Gallego (D-Ariz.), Kirsten Gillibrand (D-N.Y.), John Hickenlooper (D-Colo.), Andy Kim (D-N.J.), Ben Ray Luján (D-N.M.), Adam Schiff (D-Calif.), Mark Warner (D-Va.) and Raphael Warnock (D-Ga.). Senate Banking Committee ranking member Elizabeth Warren (D-Mass.) stressed that “to succeed in passing a new law, the Majority must share stakeholder feedback publicly and work with Democrats on strong bipartisan legislation that addresses the real and serious concerns with their current industry-written proposals.”

FLOOD INSURANCE AND DISASTER RELIEF—United States Representative Cleo Fields (D-La.) urged congressional leaders in a September 9 statement to pass a long-term reauthorization of the National Flood Insurance Program (NFIP), calling it “a lifeline” for communities vulnerable to flooding. Fields, joined by colleagues in a letter to House Financial Services Committee leaders, warned against continued short-term extensions that create “dangerous” uncertainty for families and the housing market. He highlighted bipartisan legislation that would extend the program through 2026 while calling for reforms including stronger flood mapping, mitigation investments, and affordability protections.

FLOOD INSURANCE AND DISASTER RELIEF—A bipartisan bill announced September 9 seeks to “modernize” flood mapping standard for the National Flood Insurance Program (NFIP). The Improvement of Mapping, Addresses, Geography, Elevations and Structures (IMAGE) Act—co-sponsored by Reps. Troy Downing (R-Mont.) and Vicente Gonzalez (D-Tex.)—would specifically authorize a 3D elevation mapping program from the U.S. Geological Survey as the interagency, intergovernmental funding pool for collection, and maintenance of FEMA flood maps.

LOANS—The Federal Reserve Board has filed its periodic report providing updates pursuant to Section 13(3) of the Federal Reserve Act concerning a lending facility established by the Fed in response to economic effects of the COVID-19 pandemic. The Fed is required to submit an initial report regarding each facility established under Section 13(3) and periodic updates at least every 30 days thereafter. This report provides the next periodic update on the Paycheck Protection Program Liquidity Facility (PPPLF), Main Street New Loan Facility (MSNLF), Main Street Expanded Loan Facility (MSELF), the Main Street Priority Loan Facility (MSPLF), Nonprofit Organization New Loan Facility (NONLF), and Nonprofit Organization Expanded Loan Facility (NOELF). In addition, the Fed has released transaction-specific disclosures for the PPPLF.

OVERSIGHT AND INVESTIGATION—As a follow-up to his oral testimony at a hearing before the U.S. Senate Banking Committee on September 4, Dr. Stephen Miran, Federal Reserve Board nominee and “member designate,” submitted written answers on September 8 to “Questions for the Record” posed by Sen. Elizabeth Warren (D-Mass.), Ranking Member of the Senate Banking Committee. After digesting Dr. Miran’s written answers, Warren issued a September 9 press release criticizing those written responses and questioning Miran’s independence if he is confirmed to be a Fed governor. Among other things, Warren noted that Miran: (i) plans to remain in his role with the White House if confirmed; (ii) has refused to commit to leaving the Fed after the end of the term (January 2026); and (iii) has not disclosed any conversations had with President Donald Trump while serving on both the Fed and in the White House. Maintaining that Dr. Miran’s oral and written responses to the committee reveal the risk of politicizing the central bank, Warren stated, “A Fed that serves the political whims of the President instead of making independent decisions will hurt American families and our economy.”

PRUDENTIAL REGULATION—The Federal Deposit Insurance Corporation, Federal Reserve Board, and Office of the Comptroller of the Currency have jointly announced that, in keeping with the directives of the Economic Growth and Regulatory Paperwork Reduction Act, they are holding a “hybrid public outreach meeting” on Oct. 30, 2025, in Kansas City, Missouri, as part of their review of regulations. The federal agencies communicated that this October meeting will allow stakeholders to comment on certain regulatory categories, including: “Applications and Reporting; Powers and Activities; International Operations; Consumer Protection; Directors, Officers and Employees; Money Laundering; Rules of Procedure; Safety and Soundness; Securities; Banking Operations; Capital; and the Community Reinvestment Act.” Individuals wishing to provide oral remarks, either virtually or in person, must register by October 22. Similarly, advance registration is required for those attending the meeting in person as observers.

IndustryNews: BankingOperations BankSecrecyAct Blockchain CapitalBaselAccords CFPB ConsumerCredit CommunityDevelopment CrimesOffenses DirectorsOfficersEmployers DoddFrankAct FairCreditReporting FederalReserveSystem FinancialIntermediaries FinancialStability FinTech FloodInsurance FOMC Loans Mortgages OversightInvestigations Privacy PrudentialRegulation SecuritiesDerivatives