Question: Our bank has several pre-need funeral trust accounts that are funded by insurance policies. We would like to be able to redeem the policy and simply fund the trust with other bank funds. Does Indiana law allow us to do so?
Answer: No. The issue of converting pre-need funeral trust funds…
As seen in the September 2016 issue of the Indiana Banker Association's Hoosier Banker.
Question: Recently an individual attempted to open a checking account at our bank using identification from the “Moorish Temple Science of the World.” When our customer service representative explained that…
The Consumer Financial Protection Bureau (the “CFPB” or the “Bureau”) released their Proposed Payday, Vehicle Title and Certain High Cost Installment Loans Rule (the “Proposed Rule”) on June 2, 2016 in conjunction with their planned Field Hearing on Small Dollar Lending. While the Proposed Rule is…
As seen in the August 2016 issue of the Indiana Banker Association's Hoosier Banker.
Question 1: We encourage our customers to teach their children financial literacy at an early age, and offer savings accounts for minors when linked to a parent’s or guardian’s account. Recently a 16-year-old…
As seen in the July issue of the Indiana Banker Association's Hoosier Banker.
Question No. 1: Our bank recently foreclosed on a consumer mortgage, and before vacating the property the borrower removed all of the copper piping and cabinets from the home. When we approached the local prosecutor’s…
As seen in the June issues of the Indiana Banker Association's Hoosier Banker
Question No. 1: Does Indiana law limit how much a bank can lend to one borrower, or to a group of associated borrowers, at a time?
Answer: Yes, although the calculation of these limits will vary, based on the…
The Consumer Financial Protection Bureau (the “CFPB” or the “Bureau”) released their long anticipated Proposed Rule on Arbitration late last week (the “Proposed Rule” or the “Rule”), significantly limiting the use of pre-dispute arbitration provisions in consumer financial products and services…
We received several questions about the Compliance Connection article that appeared in a recent edition of the Hoosier Banker, 1 providing guidance on the new TILARESPA Integrated Disclosure (TRID) requirements2 that took effect Oct. 3, 2015, with respect to deficiency judgments. The question as to…
Financial Institutions with less than $1 Billion in Assets Exempt; Financial Institutions with less than $50 Billion in Assets Subject to Less Restrictive Provisions
The National Credit Union Association (the “NCUA”), recently released a draft of their Proposed Rule (the “Proposed Rule”) on…
As seen in the April 2016 issue of the Indiana Banker Association's Hoosier Banker.
Treasury management agreements often remind me of the Winchester Mystery House.
The Winchester Mystery House is a beautiful, sprawling and bizarre Victorian mansion located in San Jose, California. The story goes…
As seen in the April 2016 issue of the Indiana Banker Association's Hoosier Banker.
Question: We have experienced several losses in recent months through check fraud. While we have been working with local law enforcement to identify the guilty parties, we have been told that law enforcement…
As seen in the March 2016 issue of the Indiana Banker Association's Hoosier Banker.
Question: When a customer pays off a home equity line of credit, how quickly do we have to release the mortgage? Can we require the customer to provide written notice of intent to close the account before…
