[Federal Register Volume 79, Number 95 (Friday, May 16, 2014)]
[Rules and Regulations]
[Pages 28393-28401]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: 2014-11406]


=======================================================================
-----------------------------------------------------------------------

DEPARTMENT OF THE TREASURY

Office of the Comptroller of the Currency

12 CFR Parts 14, 21, 26, 34, 35, 41, 133, 136, 160, 163, 164, 171, 
and 196

[Docket ID OCC-2014-0006]
RIN 1557-AD75


Integration of National Bank and Savings Association Regulations: 
Interagency Rules

AGENCY: Office of the Comptroller of the Currency, Treasury.

ACTION: Final rule.

-----------------------------------------------------------------------

SUMMARY: The Office of the Comptroller of the Currency (OCC) is 
combining certain rules originally issued jointly with the other 
Federal banking agencies by the OCC with respect to national banks and 
by the former Office of Thrift Supervision (OTS) with respect to 
savings associations. Specifically, the OCC is combining rules relating 
to consumer protection in insurance sales, Bank Secrecy Act (BSA) 
compliance, management interlocks, appraisals, disclosure and reporting 
of Community Reinvestment Act (CRA)-related agreements, and the Fair 
Credit Reporting Act (FCRA). This rulemaking also makes technical 
amendments to the OCC's FCRA rule to conform to provisions of the Dodd-
Frank Wall Street Reform and Consumer Protection Act (Dodd-Frank Act or 
Act). This rulemaking will not result in any substantive changes in the 
combined rules. It will, however, streamline OCC rules, reduce 
duplication, and create efficiencies by establishing a single set of 
these rules for all entities supervised by the OCC.

DATES: This final rule is effective on June 16, 2014.

FOR FURTHER INFORMATION CONTACT: For additional information, contact 
Heidi Thomas, Special Counsel, or Stuart Feldstein, Director, 
Legislative and Regulatory Activities Division, 202-649-5490, for 
persons who are deaf or hard of hearing, TTY, (202) 649-5597; Office of 
the Comptroller of the Currency, 400 7th Street SW., Washington, DC 
20219.

SUPPLEMENTARY INFORMATION:

[[Page 28394]]

I. Background

    As part of the comprehensive package of financial regulatory reform 
measures included in the Dodd-Frank Act,\1\ Title III of the Act 
transferred the powers, authorities, rights, and duties of the OTS to 
other Federal banking agencies, including the OCC. This transfer was 
effective on July 21, 2011. The Act abolished the OTS 90 days after the 
transfer date.
---------------------------------------------------------------------------

    \1\ Public Law 111-203, 124 Stat. 1376 (2010).
---------------------------------------------------------------------------

    Title III transferred to the OCC all functions of the OTS and the 
Director of the OTS relating to Federal savings associations. As a 
result, the OCC is now responsible for the ongoing examination, 
supervision, and regulation of Federal savings associations, in 
addition to national banks and Federal branches and agencies.\2\ The 
Dodd-Frank Act also transferred to the OCC the rulemaking authority of 
the OTS relating to all savings associations, both state and 
Federal.\3\
---------------------------------------------------------------------------

    \2\ Title III also transferred all functions of the OTS relating 
to state savings associations to the Federal Deposit Insurance 
Corporation (FDIC). It transferred all functions relating to the 
supervision of any savings and loan holding company and 
nondepository institution subsidiaries of such holding companies, as 
well as rulemaking authority for savings and loan holding companies, 
to the Board of Governors of the Federal Reserve System (Federal 
Reserve Board). Dodd-Frank Act, sections 312(b)(1) and (b)(2)(A) 
(savings and loan holding companies) and section 312(b)(2)(C) (state 
savings associations), codified at 12 U.S.C. 5412(b)(1), (b)(2)(A), 
and (b)(2)(C).
    \3\ Dodd-Frank Act, section 312(b)(2)(B)(i), codified at 12 
U.S.C. 5412(b)(2)(B)(i). We note that the FDIC has identified a 
number of independent sources for exercising rulemaking authority 
for state savings associations in some cases.
---------------------------------------------------------------------------

    On July 21, 2011, the OCC published a final rule that, among other 
things, revised OCC rules relating to key internal agency functions and 
operations to reflect the transfer of supervisory jurisdiction for 
Federal savings associations to the OCC. On this same date, the OCC 
issued an interim final rule and request for comments that restated and 
relocated the former OTS regulations to 12 CFR parts 100 through 197, 
with nomenclature and other technical changes.\4\ As a result, all OCC 
rules for both national banks and savings associations are located in 
Chapter 1 of Title 12 of the Code of Federal Regulations.
---------------------------------------------------------------------------

    \4\ 76 FR 48950 (Aug. 9, 2011).
---------------------------------------------------------------------------

II. Overview of Integration Rulemakings

    With a few exceptions, the OCC currently has one set of rules 
applicable to national banks and another set applicable to Federal 
savings associations or, where appropriate, to all savings 
associations.\5\ The OCC is now reviewing its rules to determine 
whether it is appropriate to integrate them into a single set of rules 
for both national banks and savings associations, where legally 
permissible and consistent with underlying statutes applicable to each 
type of institution.\6\ The key objectives of this review are to reduce 
regulatory duplication, promote fairness in supervision, eliminate 
unnecessary burden consistent with safety and soundness, and create 
efficiencies for both national banks and savings associations, as well 
as for the OCC.\7\
---------------------------------------------------------------------------

    \5\ The following OCC regulations apply to both Federal and 
state savings associations: Certain provisions in part 160 (lending 
and investment); certain provisions in part 163 (savings association 
operations); part 169 (proxies); part 190 (preemption of state usury 
laws); part 191 (preemption of state due-on-sale laws); part 192 
(conversions from mutual to stock form); and part 195 (Community 
Reinvestment Act).
    \6\ Concurrent with our integration of national bank and Federal 
savings association rules, the OCC also is reviewing OTS-issued 
supervisory policies to integrate them into the OCC's policy 
framework and to rescind any issuances that are duplicative, 
outdated, or replaced by other supervisory guidance. Our goal is to 
produce uniform policies for national banks and Federal savings 
associations, while recognizing differences anchored in statute. 
This policy review is occurring in conjunction with this integration 
rulemaking project. Many OTS-issued supervisory policies already 
have been integrated, rescinded, or replaced by new or existing OCC 
guidance. We will update this policy guidance, as appropriate, to 
reflect the integration of OCC rules as of the effective date of the 
final rules. Until that time, the Dodd-Frank Act provides that all 
such OTS issuances continue in effect until modified, terminated, 
set aside, or superseded. See Dodd-Frank Act section 316(b)(2), 
codified at 12 U.S.C. 5414(b)(2); OCC Bulletins 2011-47 (Dec. 11, 
2011), 2012-2 (Jan. 06, 2012), 2012-3 (Jan. 06, 2012), 2012-15 (May 
17, 2012), and 2013-34 (Nov. 20, 2013); and www.occ.gov/publications/publications-by-type/comptrollers-handbook/index-comptrollers-handbook.html.
    \7\ We note that section 2222 of the Economic Growth and 
Regulatory Paperwork Reduction Act of 1996 (EGRPRA), 12 U.S.C. 3311, 
requires the OCC, FDIC, and Federal Reserve Board (the Agencies) and 
the Federal Financial Institutions Examination Council (FFIEC) to 
conduct a review of all their regulations to identify outdated, 
unnecessary, or unduly burdensome regulations at least once every 10 
years. The FFIEC and the Agencies must complete their next review by 
December 31, 2016. To this end, the OCC, FDIC and Federal Reserve 
Board will issue joint notices requesting comments on their rules 
pursuant to EGRPRA over the next two years. The EGRPRA statute 
contemplates that the Agencies will initiate rulemakings, as 
appropriate, to change or eliminate outdated, unnecessary, or unduly 
burdensome rules based on the comments received. We plan to 
coordinate the publication of our integration proposals with the 
interagency EGRPRA review, such that final revisions to most OCC 
rules would consider both comments provided pursuant to the EGRPRA 
review and comments received pursuant to publication of OCC notices 
of proposed rulemakings.
---------------------------------------------------------------------------

    Based on this review, the OCC plans to publish a series of 
rulemakings, each focused on a specific category or categories of bank 
and savings association regulations.\8\ This final rule is the first of 
these integration rulemakings and it addresses those rules that the OCC 
and the OTS adopted on an interagency basis with other Federal 
regulators.
---------------------------------------------------------------------------

    \8\ This integration rulemaking project will not include rules 
relating to lending limits, capital, flood insurance, and safety and 
soundness standards. The OCC has addressed these rules in separate 
rulemakings. See 78 FR 37930 (June 25, 2013); 78 FR 62018 (Oct. 11, 
2013), 78 FR 65108 (Oct. 30, 2013), and 79 FR 4282 (Jan. 27, 2014), 
respectively. It also will not include certain mutual thrift rules, 
which the OCC will review at a later date, if necessary.
---------------------------------------------------------------------------

III. Description of the Final Rule

    This final rule amends the following OCC rules: Consumer protection 
in sales of insurance (12 CFR parts 14, 136), procedures for monitoring 
BSA compliance (12 CFR part 21, subpart C, and 12 CFR 163.177), 
depository management interlocks (12 CFR parts 26, 196), appraisals (12 
CFR part 34, subpart C, and part 164), disclosure and reporting of CRA-
related agreements (12 CFR parts 35, 133), disposal of consumer 
information (12 CFR part 41, subpart I; and 12 CFR part 171, subpart 
I), and identity theft red flags (12 CFR part 41, subpart J, and 12 CFR 
part 171, subpart J). Each pair of bank and savings association rules 
is substantively identical. Therefore, their integration will have no 
substantive effect on banks and savings associations and this 
rulemaking serves only to simplify the OCC's rulebook.\9\
---------------------------------------------------------------------------

    \9\ Because these rules were issued on an interagency basis, the 
OCC would need to make any substantive changes to these rules 
through a joint rulemaking with the other issuing agencies. The 
Agencies will consider the need for substantive changes to these 
rules after the EGRPRA notice process is complete.
---------------------------------------------------------------------------

    A detailed description of each amendment in this final rule is set 
forth below. A redesignation table that indicates changes in the 
numbering of the rules is included as Section VII of the preamble.

Consumer Protection in Sales of Insurance

    Twelve CFR parts 14 and 136 establish consumer protection rules for 
the sale of insurance or annuities to a consumer by national banks and 
Federal savings associations, respectively, and their subsidiaries. The 
rules are nearly identical and contain no substantive differences. The 
OCC and OTS originally adopted these rules through an interagency 
rulemaking \10\ pursuant to section 305 of the Gramm-Leach-Bliley Act 
(GLBA),\11\ and the OCC

[[Page 28395]]

republished the OTS rule as part 136 with only nomenclature 
changes.\12\
---------------------------------------------------------------------------

    \10\ 65 FR 75822 (Dec. 4, 2000).
    \11\ Public Law 106-102 (Nov. 12, 1999), codified at 12 U.S.C. 
1831x.
    \12\ 76 FR 48950 (Aug. 9, 2011).
---------------------------------------------------------------------------

    The OCC is amending part 14 by adding language to make it 
applicable to both national banks and Federal savings associations. 
Specifically, the final rule amends the scope and purpose section of 
part 14 to include Federal savings associations by adding a definition 
of ``Federal savings association'' and inserting the term ``Federal 
savings association'' throughout the rule where necessary. The final 
rule also replaces the term ``bank'' with ``national bank,'' where 
appropriate, to parallel the term ``Federal savings association.'' 
Finally, the final rule removes part 136.

Procedures for Monitoring BSA Compliance

    Subpart C of 12 CFR part 21 (Sec.  21.21) and 12 CFR 163.177 
require that national banks and savings associations establish and 
maintain procedures reasonably designed to assure and monitor 
compliance with BSA requirements. These provisions also establish 
minimum requirements for BSA compliance programs.\13\ The OCC and OTS 
originally adopted these rules through an interagency rulemaking \14\ 
and they are substantively the same. The OCC is amending subpart C to 
make it applicable to both national banks and savings associations and 
rescinding 12 CFR 163.177. Specifically, the final rule adds a 
definition of the term ``savings association'' and inserts this term 
throughout the rule, where appropriate.
---------------------------------------------------------------------------

    \13\ These rules implement the requirements of the BSA, as 
amended by section 326 of the Uniting and Strengthening America by 
Providing Appropriate Tools Required to Intercept and Obstruct 
Terrorism (USA PATRIOT) Act of 2001.
    \14\ 68 FR 25090 (May 9, 2003).
---------------------------------------------------------------------------

    Because there is no independent basis for the FDIC to exercise 
rulemaking authority for state savings associations with respect to 
implementing these BSA requirements, this final rule is applicable to 
both state and Federal savings associations. This rule also is 
applicable to Federal branches and agencies pursuant to 12 U.S.C. 
3102(b) and 12 CFR 28.13(a). The FDIC will enforce this rule for state 
savings associations.

Depository Institutions Management Interlocks Act

    Twelve CFR parts 26 and 196 implement the requirements of the 
Depository Institution Management Interlocks Act (Interlocks Act) \15\ 
for national banks and Federal savings associations, respectively. The 
rules are nearly identical and contain no substantive differences as 
the OCC and OTS originally adopted them through an interagency 
rulemaking.\16\
---------------------------------------------------------------------------

    \15\ 12 U.S.C. 3201 et seq.
    \16\ 61 FR 40300 (Aug. 2, 1996).
---------------------------------------------------------------------------

    In order to consolidate our rules, the OCC is amending part 26 by 
adding language that makes it applicable to both national banks and 
Federal savings associations and removing part 196. Specifically, the 
final rule amends the authority section to include relevant statutory 
citations for Federal savings associations, amends the scope section to 
include Federal savings associations, and inserts the term ``Federal 
savings association'' in the rule where necessary.
    In addition, the final rule amends Sec.  26.4, which addresses 
interlocking relationships permitted by statute, to include: (1) Any 
savings association that has issued stock in connection with a 
qualified stock issuance pursuant to section 10(q) of the Home Owners' 
Loan Act, as provided by section 205(9) of the Interlocks Act \17\ and 
(2) for a period of up to 10 years, an interlocking relationship in 
connection with an emergency acquisition of a Federal savings 
association, if the relationship is approved by the FDIC pursuant to 
section 13(k)(1)(A)(v) of the Federal Deposit Insurance Act (FDI Act), 
as amended.\18\ These two amendments implement statutory provisions 
that apply only to savings associations and that currently are included 
in part 196. Finally, the final rule amends Sec.  26.2(j)(1)(vi) to 
correct an inaccurate citation and Sec.  26.6(c) to correct a drafting 
error.
---------------------------------------------------------------------------

    \17\ 12 U.S.C. 3204(9).
    \18\ 12 U.S.C. 1823(k)(1)(A)(v).
---------------------------------------------------------------------------

    Both Sec. Sec.  26.6 and 196.6 provide that the OCC may exempt an 
interlock from the prohibitions of the Interlocks Act if the OCC finds 
that the interlock would not result in a monopoly or substantial 
lessening of competition and would not present safety and soundness 
concerns. These sections also provide a rebuttable presumption that 
this test will be met if the depository organization seeking to add a 
management official is controlled or managed by persons who are members 
of a minority group or by women. A commenter on an earlier OCC-OTS 
integration rulemaking requested that we remove this presumption.\19\ 
The OCC notes that when the regulatory exceptions for these two 
categories of interlocks were created in 1979, the Federal banking 
agencies jointly found that the exceptions were appropriate for the 
promotion of competition over the long term and that they encouraged 
the development and preservation of these types of depository 
organizations, thereby contributing to the convenience and needs of the 
public and financial communities. As we stated in the preamble to our 
1999 amendments to this rule,\20\ permitting interlocks that improve 
the quality of management in minority- and women-owned institutions 
enables these institutions to better serve traditionally underserved 
customers and markets.
---------------------------------------------------------------------------

    \19\ 76 FR 48950 (Aug. 9, 2011). As indicated above, this 
interim final rule and request for comments restated the former OTS 
regulations as 12 CFR parts 100 through 197, with nomenclature and 
other technical changes.
    \20\ 64 FR 51673, at 51675 (Sept. 24, 1999).
---------------------------------------------------------------------------

    The OCC continues to believe that the exception for a depository 
organization controlled or managed by members of a minority group or by 
women does not create an unfair advantage but instead recognizes that 
it has historically been more difficult for institutions controlled by 
women and minorities to recruit seasoned management and that, 
accordingly, competition to serve traditionally underserved markets may 
have suffered. Therefore, the OCC does not support the removal of this 
rebuttable presumption.

Appraisals

    Both 12 CFR part 34, subpart C, and 12 CFR part 164, subpart A, 
contain substantively similar provisions that: (1) Address real estate-
related financial transactions that require the services of an 
appraiser, (2) prescribe categories of transactions that either require 
an appraisal by a state certified appraiser or can be valued by a state 
licensed appraiser, and (3) prescribe minimum standards for the 
performance of a real estate appraisal in connection with a Federally 
related transaction entered into by an OCC-regulated institution. In 
order to consolidate national bank and Federal savings association 
rules, the OCC is applying part 34, subpart C, to Federal savings 
associations by amending Sec.  34.41(a), the authority for subpart C, 
to include the relevant authority for both national banks and Federal 
savings associations. We also are removing 12 CFR part 164, including 
Sec.  164.8, which addresses appraisal policies and practices of 
savings associations and subsidiaries and duplicates provisions in 
other OCC regulations and guidance.\21\ This final rule also makes 
other technical changes to clarify or update the rule. None of these 
revisions would result in any substantive changes to the appraisal 
requirements currently applicable to

[[Page 28396]]

either national banks or Federal savings associations.\22\
---------------------------------------------------------------------------

    \21\ See e.g., 2010 Interagency Appraisal and Evaluation 
Guidelines, OCC Bulletin 2010-42 (Dec. 10, 2010).
    \22\ The OCC recently added subpart G to part 34 and subpart B 
to part 164 to implement the higher-priced loan appraisal 
requirements of section 1471 of the Dodd-Frank Act. See 78 FR 10368 
(Feb. 13, 2013) and 78 FR 78520 (Dec. 25, 2013). The scope of 
subpart G of part 34 includes Federal savings associations, and part 
164, subpart B, merely cross-references to part 34, subpart G. 
Therefore, subpart B of part 164 does not need to be integrated into 
part 34, and this interim final rule will remove all of part 164, 
both subparts A and B, from the OCC's rulebook. In addition, we note 
that the OCC, along with a number of other agencies, has published a 
proposed rule to implement section 1473 of the Dodd-Frank Act that 
would add a new subpart H, Appraisal Management Company Minimum 
Requirements, to part 34. Subpart H, as proposed, relates to the 
registration and supervision of appraisal management companies by 
states and is not specific to national banks or Federal savings 
associations. 79 FR 19521 (Apr. 9, 2014).
---------------------------------------------------------------------------

Disclosure and Reporting of CRA-Related Agreements

    The CRA ``sunshine'' provisions of GLBA impose certain disclosure 
and reporting requirements with respect to CRA-related agreements 
entered into by an insured depository institution or its affiliate with 
a non-governmental entity or person.\23\ The law required each 
appropriate Federal banking agency to prescribe regulations 
implementing these CRA requirements. The appropriate Federal banking 
agencies, including the OCC and the OTS, satisfied this requirement by 
issuing joint, substantively identical regulations, which currently 
appear at 12 CFR part 35 for national banks and 12 CFR part 133 for 
Federal savings associations.\24\ These rules differ from one another 
only with respect to their scope. Specifically, part 35 applies to 
national banks and their subsidiaries, while part 133 applies to 
Federal savings associations, their subsidiaries, and their affiliates.
---------------------------------------------------------------------------

    \23\ The statutory CRA `sunshine' provisions are codified in the 
FDI Act at 12 U.S.C. 1831y.
    \24\ 66 FR 2052 (Jan. 10, 2001).
---------------------------------------------------------------------------

    In order to eliminate duplicative regulations, the OCC is removing 
part 133 and revising the scope provision of part 35 so that part 35 
also applies to Federal savings associations and their subsidiaries. 
This scope provision is consistent with the scope of the CRA sunshine 
statute, which applies to insured depository institutions and their 
affiliates, including their subsidiaries.\25\ The final rule does not 
carry over to part 35 the reference to Federal savings association 
affiliates in part 133 because the Dodd-Frank Act transferred authority 
over savings and loan holding companies and their non-depository 
institution subsidiaries to the Federal Reserve Board.\26\ Affiliates 
of Federal savings associations therefore are subject to the Federal 
Reserve Board's substantively identical Regulation G.\27\
---------------------------------------------------------------------------

    \25\ For purposes of this CRA statute, the relevant definition 
of the term ``affiliate'' is the definition given in the FDI Act, 
which, by cross-reference to the Bank Holding Company Act, defines 
the term as ``any company that controls, is controlled by, or is 
under common control with another company.'' See 12 U.S.C. 
1813(w)(6), cross-referencing 12 U.S.C. 1841(k).
    \26\ Dodd-Frank Act, section 312(b), codified at 12 U.S.C. 
5412(b).
    \27\ 12 CFR part 207.
---------------------------------------------------------------------------

    The OCC also is amending the Sec.  35.11(e) definition of 
``executive officer,'' which is currently defined in both parts 35 and 
133 by cross-reference to the Federal Reserve Board's Regulation O.\28\ 
The current Federal savings association regulation provides at Sec.  
133.11(e) that, for purposes of part 133, Regulation O's use of the 
term ``bank'' shall mean ``savings association.'' Without this proviso, 
the cross-reference to Regulation O would be incompatible with part 
133. The OCC is including similar proviso language in revised part 35, 
so that the cross-reference to Regulation O continues to be compatible 
with the rule as applied to Federal savings associations. The final 
rule also makes other minor or technical changes to part 35, including 
the correction of a citation at Sec.  35.11(j)(2)(iv).
---------------------------------------------------------------------------

    \28\ 12 CFR 215.2(e)(1).
---------------------------------------------------------------------------

Fair Credit Reporting

    Twelve CFR part 41, subparts I and J, contain the OCC's national 
bank rules implementing the FCRA \29\ and address the disposal of 
records containing consumer information and identity theft red flags. 
These provisions are substantively identical to the Federal savings 
association FCRA provisions at part 171, subparts I and J. In order to 
eliminate this redundancy, the OCC is applying part 41, subparts I and 
J, to both national banks and Federal savings associations and removing 
part 171.
---------------------------------------------------------------------------

    \29\ 15 U.S.C. 1681 et seq.
---------------------------------------------------------------------------

    We note that the Red Flag Program Clarification Act (RFPCA) \30\ 
amended the definition of ``creditor'' for purposes of the Red Flag 
guidelines and regulations to clarify the scope of entities 
covered.\31\ To be consistent with current law, this final rule revises 
the definition of ``creditor'' in the Red Flag guidelines, Sec.  
41.90(b)(5), to cross-reference the statutory definition as amended by 
the RFPCA. It makes no substantive amendment to the definition based on 
the RFPCA.
---------------------------------------------------------------------------

    \30\ Public Law 111-319 (Dec. 18, 2010).
    \31\ 15 U.S.C. 1681m(e)(4).
---------------------------------------------------------------------------

    This final rule also amends part 41 to conform with section 
1002(12)(F) of the Dodd-Frank Act, which, effective July 21, 2011, 
transferred to the Consumer Financial Protection Bureau (CFPB) the 
OCC's FCRA rulemaking authority for the remaining provisions in part 
41.\32\ The CFPB has issued rules implementing these FCRA provisions, 
with which both national banks and Federal savings associations now 
must comply.\33\ Accordingly, the OCC is removing part 41, subpart C 
(affiliate marketing), subpart D (medical information), and subpart E 
(duties of furnishers of information), and Sec.  41.82 (duties of users 
of consumer information regarding address discrepancies), as they are 
no longer in effect. In addition, we are amending part 41, subpart A, 
which contains general provisions that are no longer relevant in light 
of the transfer of the majority of the OCC's FCRA implementation 
authority to the CFPB. Specifically, we are removing Sec.  41.1, which 
states the scope of current part 41, and moving Sec.  41.2, which 
explains the role of the examples provided in the rule, to subpart J, 
where the remaining examples themselves are located. In addition, the 
OCC is moving the definitions of ``consumer'' and ``person'' from Sec.  
41.3 to subparts I and J, respectively, where these terms are used. The 
remaining definitions in Sec.  41.3 are applicable only to transferred 
FCRA provisions and therefore are removed.
---------------------------------------------------------------------------

    \32\ The Dodd-Frank Act also transferred rulemaking authority 
for part 34, subpart F (registration of mortgage loan originators) 
and part 40 (privacy of consumer financial information) to the CFPB. 
We removed these rules from the OCC's rulebook through a prior 
rulemaking. See 79 FR 15639 (Mar. 21, 2014).
    \33\ 12 CFR part 1022.
---------------------------------------------------------------------------

    As a conforming change, the OCC is renaming subpart I and Sec.  
41.83 (the only section remaining in subpart I) to ``Proper disposal of 
records containing consumer information'' to more accurately reflect 
its content. In addition, the OCC is updating the cross-references in 
Sec. Sec.  41.90(b)(5) and (b)(8) to reference CFPB rules, and making a 
technical change to a citation in Appendix J.

IV. Notice and Comment

    Pursuant to the Administrative Procedure Act (APA), at 5 U.S.C. 
553(b)(B), notice and comment are not required prior to the issuance of 
a final rule if an agency, for good cause, finds that ``notice and 
public procedure thereon are impracticable, unnecessary, or contrary to 
the public interest.'' Because this final rule integrates nearly 
identical rules applicable to national banks and Federal savings 
associations and does not make any material changes to these rules, the 
OCC finds that public

[[Page 28397]]

notice and comment on this rulemaking is not necessary prior to its 
issuance.
    Furthermore, the OCC finds that public notice and comment on the 
removal of certain FCRA provisions in 12 U.S.C. part 41 that 
transferred to the CFPB, and the resulting conforming changes to part 
41, also are unnecessary. Because the Dodd-Frank Act transferred all 
Federal rulemaking for national banks for these FCRA provisions to the 
CFPB,\34\ the existing OCC rules implementing these laws for national 
banks are no longer valid. These amendments are clerical in nature and 
will reduce any possible confusion that may result from having two sets 
of rules addressing these laws in the Code of Federal Regulations. In 
addition, we find that public notice and comment on the conforming 
amendment to the definition of ``creditor'' in Sec.  41.90(b)(5) to 
reflect the new statutory definition \35\ is unnecessary. This 
amendment is technical in nature as the statutory definition is now in 
effect and overrides the regulatory definition.
---------------------------------------------------------------------------

    \34\ See Dodd-Frank Act sections 1002 and 1022, codified at 12 
U.S.C. 5481 and 5512.
    \35\ See Public Law 111-319.
---------------------------------------------------------------------------

    For these reasons, the OCC has good cause to conclude that advance 
notice and comment under the APA for this rulemaking are unnecessary.

V. Effective Date

    This final rule is effective on June 16, 2014. Section 302 of the 
Riegle Community Development and Regulatory Improvement Act of 1994 (12 
U.S.C. 4802) requires, subject to certain exceptions, that regulations 
imposing additional reporting, disclosure, or other requirements on 
insured depository institutions take effect on the first day of the 
calendar quarter after publication of the final rule. This rule does 
not impose additional reporting, disclosure, or other requirements and 
therefore section 302 of this Act does not apply.

VI. Regulatory Analysis

Regulatory Flexibility Act

    Pursuant to the Regulatory Flexibility Act (RFA),\36\ an agency 
must prepare a regulatory flexibility analysis for all proposed and 
final rules that describe the impact of the rule on small entities, 
unless the head of an agency certifies that the rule will not have ``a 
significant economic impact on a substantial number of small 
entities.'' However, the RFA applies only to rules for which an agency 
publishes a general notice of proposed rulemaking pursuant to the 
APA.\37\ Pursuant to the APA at 5 U.S.C. 553(b)(B), general notice and 
an opportunity for public comment are not required prior to the 
issuance of a final rule when an agency, for good cause, finds that 
``notice and public procedure thereon are impracticable, unnecessary, 
or contrary to the public interest.'' As discussed above, the OCC has 
determined for good cause that the APA does not require general notice 
and public comment on this final rule and, therefore, we are not 
publishing a general notice of proposed rulemaking. Thus, the RFA does 
not apply to this final rule.\38\
---------------------------------------------------------------------------

    \36\ Public Law 96-354 (Sept. 19, 1980), codified at 5 U.S.C. 
603.
    \37\ 5 U.S.C. 603(a), 604(a).
    \38\ We have concluded, however, that the final rule does not 
have ``a significant economic impact on a substantial number of 
small entities'' and thus, if the RFA did apply, a regulatory 
flexibility analysis would not be required.
---------------------------------------------------------------------------

Unfunded Mandates Reform Act of 1995

    Under the Unfunded Mandates Reform Act of 1995 (UMRA),\39\ agencies 
consider whether a proposed rule includes a Federal mandate that may 
result in the expenditure by State, local, and tribal governments, in 
the aggregate, or by the private sector, of $100 million or more in any 
one year (adjusted annually for inflation). If there is such a mandate, 
the agency prepares a budgetary impact statement, and also identifies 
and considers a reasonable number of regulatory alternatives before 
promulgating the rule. However, the UMRA applies only to rules for 
which an agency publishes a general notice of proposed rulemaking 
pursuant to the APA at 5 U.S.C. 553(b). As discussed above, the OCC has 
determined for good cause that the APA does not require general notice 
and public comment on this final rule and, therefore, we are not 
publishing a general notice of proposed rulemaking. Thus, the UMRA does 
not apply to this final rule. Accordingly, the OCC has not prepared a 
budgetary impact statement or specifically addressed the regulatory 
alternatives considered.\40\
---------------------------------------------------------------------------

    \39\ 2 U.S.C. 1532.
    \40\ We have, however, concluded that the final rule does not 
include a Federal mandate that meets the UMRA threshold and thus, if 
the UMRA did apply, a budgetary impact statement would not be 
required.
---------------------------------------------------------------------------

Paperwork Reduction Act

    This final rule amends several regulatory provisions that have 
currently approved collections of information under the Paperwork 
Reduction Act (PRA).\41\ The amendments adopted today do not introduce 
any new collections of information into the rules, nor do they amend 
the rules in a way that substantively modifies the collections of 
information that the Office of Management and Budget (OMB) has 
approved. Therefore, no PRA submissions to OMB are required regarding 
them, with the exception of removing obsolete citations.
---------------------------------------------------------------------------

    \41\ 44 U.S.C. 3501-3520; OMB Control Nos. 1557-0014; 1557-0180; 
1557-0190; 1557-0219; 1557-0220; 1557-0230; 1557-0237; and 1557-
0238.
---------------------------------------------------------------------------

VII. Redesignation Table

    The following redesignation table is provided for reader reference. 
It lists the current savings association provision and identifies the 
provision in this final rule that would replace it.

------------------------------------------------------------------------
               Current rule                          Final rule
------------------------------------------------------------------------
Part 133..................................  Part 35.
Part 136..................................  Part 14.
Sec.   163.177............................  Sec.   21.21.
Part 164..................................  Part 34, subpart C.
  Sec.   164.1............................  Sec.   34.41.
  Sec.   164.2............................  Sec.   34.42.
  Sec.   164.3............................  Sec.   34.43.
  Sec.   164.4............................  Sec.   34.44.
  Sec.   164.5............................  Sec.   34.45.
  Sec.   164.6............................  Sec.   34.46.
  Sec.   164.7............................  Sec.   34.47.
  Sec.   164.8............................  See e.g., 2010 Interagency
                                             Appraisal and Evaluation
                                             Guidelines.
Sec.   164, subpart B.....................  Part 34, subpart G.
Part 171, subpart I (Sec.   171.83).......  Sec.   41.83.
Part 171, subpart J (Sec.   171.90-171.92)  Part 41, subpart J.
Part 196..................................  Part 26.
  Sec.   196.1............................  Sec.   26.1.
  Sec.   196.2............................  Sec.   26.2.
  Sec.   196.3............................  Sec.   26.3.
  Sec.   196.4............................  Sec.   26.4.
  Sec.   196.5............................  Sec.   26.5.
  Sec.   196.6............................  Sec.   26.6.
  Sec.   196.7............................  Sec.   26.7.
  Sec.   196.8............................  Sec.   26.8.
  Sec.   196.9............................  Sec.   26.4(j).
------------------------------------------------------------------------

List of Subjects

12 CFR Part 14

    Banks, Banking, Consumer protection, Insurance, National banks, 
Reporting and recordkeeping requirements.

12 CFR Part 21

    Crime, Currency, National banks, Reporting and recordkeeping 
requirements, Security measures.

12 CFR Part 26

    Antitrust, Holding companies.

12 CFR Part 34

    Mortgages, National banks, Reporting and recordkeeping 
requirements.

12 CFR Part 35

    Community development, Credit, Freedom of information, Investments,

[[Page 28398]]

National banks, Reporting and recordkeeping requirements.

12 CFR Part 41

    Banks, Banking, Consumer protection, National banks, Reporting, 
Recordkeeping requirements.

12 CFR Part 133

    Confidential business information, Freedom of information, 
Reporting and recordkeeping requirements, Savings associations.

12 CFR Part 136

    Consumer protection, Insurance, Reporting and recordkeeping 
requirements, Savings associations.

12 CFR Part 163

    Accounting, Administrative practice and procedure, Advertising, 
Conflict of interests, Crime, Currency, Investments, Mortgages, 
Reporting and recordkeeping requirements, Savings associations, 
Securities, Surety bonds.

12 CFR Part 160

    Consumer protection, Investments, Manufactured homes, Mortgages, 
Reporting and recordkeeping requirements, Savings associations, 
Securities.

12 CFR Part 164

    Appraisals, Mortgages, Reporting and recordkeeping requirements, 
Savings associations.

12 CFR Part 171

    Consumer protection, Credit, Fair Credit Reporting Act, Privacy, 
Reporting and recordkeeping requirements, Savings associations.

12 CFR Part 196

    Antitrust, Reporting and recordkeeping requirements, Savings 
associations.

    For the reasons set forth in the preamble, and under the authority 
of 12 U.S.C. 93a and 5412(b)(2)(B), chapter I of title 12 of the Code 
of Federal Regulations is amended as follows:

PART 14--CONSUMER PROTECTION IN SALES OF INSURANCE

0
1. Revise the authority citation for part 14 to read as follows:

    Authority:  12 U.S.C. 1 et seq., 24(Seventh), 92, 93a, 1462a, 
1463, 1464, 1818, 1831x, and 5412(b)(2)(B).

0
2. Revise Sec.  14.10 to read as follows:


Sec.  14.10  Purpose and scope.

    (a) General rule. This part establishes consumer protections in 
connection with retail sales practices, solicitations, advertising, or 
offers of any insurance product or annuity to a consumer by:
    (1) Any national bank or Federal savings association; or
    (2) Any other person that is engaged in such activities at an 
office of the national bank or Federal savings association, or on 
behalf of the national bank or Federal savings association.
    (b) Application to operating subsidiaries. For purposes of Sec.  
5.34(e)(3) of this chapter for national banks and Sec.  159.3(h) of 
this chapter for Federal savings associations, an operating subsidiary 
is subject to this part only to the extent that it sells, solicits, 
advertises, or offers insurance products or annuities at an office of a 
national bank or Federal savings association, or on behalf of a 
national bank or Federal savings association.


0
3. Amend Sec.  14.20 by:
0
a. Removing the word ``or'' in paragraph (f)(1)(i);
0
b. Redesignating paragraph (f)(1)(ii) as paragraph (f)(1)(iii) and by 
adding a new paragraph (f)(1)(ii);
0
c. Adding the phrase ``or Federal savings association'' after the word 
``bank'' in newly designated paragraph (f)(1)(iii) and paragraphs 
(f)(2) and (i), wherever it appears; and
0
d. Redesignating paragraph (j) as paragraph (k) and by adding a new 
paragraph (j).
    The additions read as follows:


Sec.  14.20  Definitions.

* * * * *
    (f) * * *
    (1) * * *
    (ii) A Federal savings association; or
* * * * *
    (j) Federal savings association means a Federal savings association 
or Federal savings bank chartered under section 5 of the Home Owners' 
Loan Act (12 U.S.C. 1464).
* * * * *

0
4. Amend Sec.  14.30 by revising paragraphs (a) introductory text, 
(a)(1), (b) introductory text, (b)(1), (b)(3) introductory text, and 
(b)(3)(i) to read as follows:


Sec.  14.30  Prohibited practices.

    (a) Anticoercion and antitying rules. A covered person may not 
engage in any practice that would lead a consumer to believe that an 
extension of credit, in violation of section 106(b) of the Bank Holding 
Company Act Amendments of 1970 (12 U.S.C. 1972) or section 5(q) of the 
Home Owners' Loan Act (12 U.S.C. 1464(q)), is conditional upon either:
    (1) The purchase of an insurance product or annuity from the bank, 
Federal savings association, or any of their affiliates; or
* * * * *
    (b) Prohibition on misrepresentations generally. A covered person 
may not engage in any practice or use any advertisement at any office 
of, or on behalf of, the bank, Federal savings association, or a 
subsidiary of the bank or Federal savings association that could 
mislead any person or otherwise cause a reasonable person to reach an 
erroneous belief with respect to:
    (1) The fact that an insurance product or annuity sold or offered 
for sale by a covered person or any subsidiary of the bank or Federal 
savings association is not backed by the Federal government, the bank, 
or the Federal savings association, or the fact that the insurance 
product or annuity is not insured by the Federal Deposit Insurance 
Corporation (FDIC);
* * * * *
    (3) In the case of a bank, Federal savings association, or 
subsidiary of the bank or Federal savings association at which 
insurance products or annuities are sold or offered for sale, the fact 
that:
    (i) The approval of an extension of credit to a consumer by the 
bank, Federal savings association, or subsidiary may not be conditioned 
on the purchase of an insurance product or annuity by the consumer from 
the bank, Federal savings association, or a subsidiary of the bank or 
Federal savings association; and
* * * * *

0
5. Amend Sec.  14.40 by:
0
a. Revising paragraphs (a)(1) and (2), (b) introductory text, and 
(b)(1);
0
b. In paragraph (c)(4)(i), removing the number ``12'' and adding in its 
place the number ``15'';
0
c. In paragraph (c)(5), fourth bullet, removing the phrase ``BANK [OR'' 
and adding ``[BANK] [FEDERAL'' in its place; and
0
d. In paragraph (d), adding the phrase ``or Federal savings 
association'' at the end of the sentence.
    The revisions read as follows:


Sec.  14.40  What a covered person must disclose.

    (a) * * *
    (1) The insurance product or annuity is not a deposit or other 
obligation of, or guaranteed by, the bank, Federal savings association, 
or an affiliate of the bank or Federal savings association;
    (2) The insurance product or annuity is not insured by the FDIC or 
any other agency of the United States, the bank, Federal savings 
association, or (if applicable) an affiliate of the bank or Federal 
savings association; and
* * * * *

[[Page 28399]]

    (b) Credit disclosure. In the case of an application for credit in 
connection with which an insurance product or annuity is solicited, 
offered, or sold, a covered person must disclose that the bank or 
Federal savings association may not condition an extension of credit on 
either:
    (1) The consumer's purchase of an insurance product or annuity from 
the bank, Federal savings association, or any of their affiliates; or
* * * * *


Sec.  14.50  [Amended]

0
6. Amend Sec.  14.50 by:
0
a. Adding the phrase ``or Federal savings association'' after the word 
``bank'', wherever it appears; and
0
b. In paragraph (a), adding the phrase ``or Federal savings 
association's'' after the word ``bank's''.


Sec.  14.60  [Amended]

0
7. Amend Sec.  14.60 by adding the phrase ``or Federal savings 
association'' after the word ``bank''.
0
8. Revise appendix A to part 14 to read as follows:

Appendix A to Part 14--Consumer Grievance Process

    Any consumer who believes that any bank, Federal savings 
association, or any other person selling, soliciting, advertising, 
or offering insurance products or annuities to the consumer at an 
office of the bank, Federal savings association or on behalf of the 
bank or Federal savings association has violated the requirements of 
this part should contact the Customer Assistance Group, Office of 
the Comptroller of the Currency, (800) 613-6743, 1301 McKinney 
Street, Suite 3450, Houston, Texas 77010-3031, or 
www.helpwithmybank.gov.

PART 21--MINIMUM SECURITY DEVICES AND PROCEDURES, REPORTS OF 
SUSPICIOUS ACTIVITIES, AND BANK SECRECY ACT COMPLIANCE PROGRAM

0
9. Revise the authority citation for part 21 to read as follows:

    Authority: 12 U.S.C. 1, 93a, 1462a, 1463, 1464, 1818, 1881-1884, 
and 3401-3422; 31 U.S.C. 5318.


0
10. Amend Sec.  21.21 by:
0
a. In paragraph (a), adding the phrase ``and savings associations'' 
after the word ``banks'';
0
b. Redesignating paragraphs (b) and (c) as paragraphs (c) and (d), 
respectively;
0
c. Adding a new paragraph (b) to read as follows;
0
d. In newly designated paragraphs (c)(1):
0
i. Removing the phrase ``Each bank'' and replacing it with the phrase 
``Each national bank and each savings association'';
0
ii. Removing the word ``bank's'' and replacing it with the phrase 
``national bank's or savings association's''; and
0
iii. Removing the phrase ``the bank'' and replacing it with ``the 
national bank or savings association'';
0
e. In newly designated paragraphs (c)(2), removing the phrase ``Each 
bank'' and replacing it with the phrase ``Each national bank and each 
savings association''; and
0
f. In newly designated paragraph (d)(2), removing the word ``bank'' and 
replacing it with the phrase ``national bank or savings association''.
    The addition reads as follows:


Sec.  21.21  Procedures for monitoring Bank Secrecy Act (BSA) 
compliance.

* * * * *
    (b) Definition of savings association. For purposes of this subpart 
C, the term savings association means a savings association as defined 
in section 3 of the Federal Deposit Insurance Act (FDI Act), the 
deposits of which are insured by the Federal Deposit Insurance 
Corporation. It includes a Federal savings association or Federal 
savings bank, chartered under section 5 of the FDI Act, or a building 
and loan, savings and loan, or homestead association, or a cooperative 
bank (other than a cooperative bank which is a state bank as defined in 
section 3(a)(2) of the FDI Act) organized and operating according to 
the laws of the state in which it is chartered or organized, or a 
corporation (other than a bank as defined in section 3(a)(1) of the FDI 
Act) that the Board of Directors of the Federal Deposit Insurance 
Corporation and the Comptroller jointly determine to be operating 
substantially in the same manner as a savings association.
* * * * *

PART 26--MANAGEMENT OFFICIAL INTERLOCKS

0
11. Revise the authority citation for part 26 to read as follows:

    Authority: 12 U.S.C. 1, 93a, 1462a, 1463, 1464, 3201-3208, 
5412(b)(2)(B).


Sec.  26.1  [Amended]

0
12. Section 26.1 is amended:
0
a. In paragraph (a) by removing the phrase ``in 12 U.S.C. 93a'' and by 
replacing it with the phrase ``for national banks in 12 U.S.C. 93a and 
Federal savings associations in 12 U.S.C. 1462a and 5412(b)(2)(B)''; 
and
0
b. In paragraph (c) by adding the phrase ``, Federal savings 
associations,'' after the word ``banks''.


Sec.  26.2  [Amended]

0
13. Section 26.2 is amended:
0
a. In the first sentence of paragraph (a)(2), by adding the phrase ``or 
Federal savings association'' after the word ``bank'';
0
b. In the last sentence in paragraph (a)(2), by removing the phase 
``group owns'' and replacing it with ``group, owns''; and
0
c. In paragraph (j)(1)(vi), by removing the phrase ``paragraph (k)(1)'' 
and replacing it with the phrase ``paragraph (j)(1)''.

0
14. Section 26.4 is amended by adding paragraphs (i) and (j) to read as 
follows:


Sec.  26.4  Interlocking relationships permitted by statute.

* * * * *
    (i) Any savings association that has issued stock in connection 
with a qualified stock issuance pursuant to section 10(q) of the HOLA, 
as provided by section 205(9) of the Interlocks Act (12 U.S.C. 
3204(9)).
    (j) A management official or prospective management official of a 
depository organization may enter into an otherwise prohibited 
interlocking relationship with a Federal savings association for a 
period of up to 10 years if such relationship is approved by the 
Federal Deposit Insurance Corporation pursuant to section 
13(k)(1)(A)(v) of the Federal Deposit Insurance Act, as amended (12 
U.S.C. 1823(k)(1)(A)(v)).


0
15. Section 26.6 is amended by revising paragraph (c) to read as 
follows:


Sec.  26.6  General exemption.

* * * * *
    (c) Duration. (1) Unless a specific expiration period is provided 
in the OCC approval, an exemption permitted by paragraph (a) of this 
section may continue so long as it does not result in either:
    (i) A monopoly or substantial lessening of competition; or
    (ii) An unsafe or unsound condition.
    (2) If the OCC grants an interlock exemption in reliance upon a 
presumption under paragraph (b) of this section, the interlock may 
continue for three years, unless otherwise provided by the OCC in 
writing.


Sec.  26.8  [Amended]

0
16. Section 26.8 is amended by adding the phrase ``, Federal savings 
associations,'' after the word ``banks'' and by adding the phrase ``or 
Federal savings association'' after the word ``bank''.

[[Page 28400]]

PART 34--REAL ESTATE LENDING AND APPRAISALS

0
17. Revise the authority citation for part 34 to read as follows:

    Authority:  12 U.S.C. 1 et seq., 25b, 29, 93a, 371, 1462a, 1463, 
1464, 1465, 1701j-3, 1828(o), 3331 et seq., and 5412(b)(2)(B).

0
18. Amend Sec.  34.41 by:
0
a. Revising paragraph (a); and
0
b. In paragraph (b) introductory text, adding the phrase ``of FIRREA'' 
after the phrase ``Title XI''.
    The revision reads as follows.


Sec.  34.41  Authority, purpose, and scope.

    (a) Authority. This subpart is issued by the Office of the 
Comptroller of the Currency (the OCC) under 12 U.S.C. 1, 93a, 1462a, 
1463, 1464, 1828(m), 5412(b)(2)(B), and title XI of the Financial 
Institutions Reform, Recovery, and Enforcement Act of 1989 (FIRREA) 
(Pub. L. 101-73, 103 Stat. 183 (1989)), 12 U.S.C. 3331 et seq.
* * * * *


Sec.  34.42  [Amended]

0
19. Amend Sec.  34.42 in paragraph (f)(1) by removing the word 
``institution'' and adding in its place ``institutions''.


Sec.  34.43  [Amended]

0
20. Amend Sec.  34.43 by removing paragraph (f).


Sec.  34.44  [Amended]

0
21. Amend Sec.  34.44, in paragraph (a), by removing the address ``1029 
Vermont Ave. NW., Washington, DC 20005'' and adding in its place 
``(www.appraisalfoundation.org)''.

PART 35--DISCLOSURE AND REPORTING OF CRA-RELATED AGREEMENTS

0
22. Revise the authority citation for part 35 to read as follows:

    Authority:  12 U.S.C. 1, 93a, 1462a, 1463, 1464, 1831y, and 
5412(b)(2)(B).


0
23. Section 35.1 is amended by revising paragraphs (b) and (c) to read 
as follows:


Sec.  35.1  Purpose and scope of this part.

* * * * *
    (b) Scope of this part. The provisions of this part apply to--
    (1) A national bank and its subsidiaries;
    (2) A Federal savings association and its subsidiaries; and
    (3) Nongovernmental entities or persons (NGEPs) that enter into 
covered agreements with any entity listed in paragraphs (b)(1) or 
(b)(2) of this section.
    (c) Relation to Community Reinvestment Act. This part does not 
affect in any way the Community Reinvestment Act of 1977 (CRA) (12 
U.S.C. 2901 et seq.), part 25 (Community Reinvestment Act and 
Interstate Deposit Production Regulations) or part 195 (Community 
Reinvestment) of this chapter, or the OCC's interpretations or 
administration of that Act or these regulations.
* * * * *
0
24. Section 35.2 is amended by revising paragraphs (a)(2)(ii) and 
(a)(4) to read as follows:


Sec.  35.2  Definition of covered agreement.

    (a) * * *
    (2) * * *
    (ii) One or more NGEPs.
* * * * *
    (4) The agreement is made pursuant to, or in connection with, the 
fulfillment of the CRA, as defined in Sec.  35.4.
* * * * *
0
25. Section 35.11 is amended by:
0
a. Revising paragraph (e); and
0
b. In paragraph (j)(2)(iv), removing the phrase ``paragraphs 
(i)(2)(i)'' and adding in its place the phrase ``paragraphs 
(j)(2)(i)''.
    The revision reads as follows:


Sec.  35.11  Other definitions and rules of construction used in this 
part.

* * * * *
    (e) Executive officer. The term ``executive officer'' has the same 
meaning as in Sec.  215.2(e)(1) of Regulation O issued by the Board of 
Governors of the Federal Reserve System (12 CFR 215.2(e)(1)). In 
applying this definition under this part to a Federal savings 
association, the phrase ``Federal savings association'' shall be used 
in place of the term ``bank.''
* * * * *

PART 41--FAIR CREDIT REPORTING

0
26. Revise the authority citation for part 41 to read as follows:

    Authority:  12 U.S.C. 1 et seq., 24(Seventh), 93a, 1462a, 1463, 
1464, 1818, 1828, 1831p-1, 1881-1884, and 5412(b)(2)(B); 15 U.S.C. 
1681m, 1681s, 1681t, and 1681w.

Subparts A, C, D, and E [Removed and Reserved]

0
27. Remove and reserve subparts A, C, D, and E.

Subpart I--Proper Disposal of Records Containing Consumer 
Information

0
28. The heading for subpart I is revised as set forth above.


Sec.  41.82  [Removed and Reserved]

0
29. Remove and reserve Sec.  41.82.

0
30. Revise Sec.  41.83 to read as follows:


Sec.  41.83  Proper disposal of records containing consumer 
information.

    (a) Definitions as used in this section. (1) Consumer means an 
individual.
    (2) Federal savings association means a Federal savings association 
or an operating subsidiary of a Federal savings association.
    (3) National bank means a national bank, an operating subsidiary of 
a national bank, or a Federal branch or agency of a foreign bank.
    (b) In general. Each national bank or Federal savings association 
must properly dispose of any consumer information that it maintains or 
otherwise possesses in accordance with the Interagency Guidelines 
Establishing Information Security Standards, as set forth in Appendix B 
to 12 CFR part 30, to the extent that the bank or savings association 
is covered by the scope of the Guidelines.
    (c) Rule of construction. Nothing in this section shall be 
construed to:
    (1) Require a national bank or Federal savings association to 
maintain or destroy any record pertaining to a consumer that is not 
imposed under any other law; or
    (2) Alter or affect any requirement imposed under any other 
provision of law to maintain or destroy such a record.

Subpart J--Identity Theft Red Flags

0
31. Amend Sec.  41.90 by:
0
a. Revising paragraphs (a) and (b)(5) and (8);
0
b. Redesignating paragraphs (b)(9) and (10) as (b)(10) and (11); and
0
c. Adding a new paragraph (b)(9).
    The revisions and addition read as follows:


Sec.  41.90  Duties regarding the detection, prevention, and mitigation 
of identity theft.

    (a) Scope. This section applies to a financial institution or 
creditor that is a national bank; a Federal savings association; a 
Federal branch or agency of a foreign bank; or an operating subsidiary 
of any of these institutions that is not a functionally regulated 
subsidiary within the meaning of section 5(c)(5) of the Bank Holding 
Company Act of 1956, as amended (12 U.S.C. 1844(c)(5)).
    (b) * * *
    (5) Creditor has the same meaning as in 15 U.S.C. 1681m(e)(4).
* * * * *
    (8) Identity theft has the same meaning as in 12 CFR 1022.3(h).

[[Page 28401]]

    (9) Person means any individual, partnership, corporation, trust, 
estate, cooperative, association, government, or governmental 
subdivision or agency, or other entity.
* * * * *

0
32. Amend Sec.  41.91 by revising paragraph (a) and adding paragraph 
(b)(3) to read as follows:


Sec.  41.91  Duties of card issuers regarding changes of address.

    (a) Scope. This section applies to an issuer of a debit or credit 
card (card issuer) that is a national bank; a Federal savings 
association; a Federal branch or agency of a foreign bank; or an 
operating subsidiary of any of these institutions that is not a 
functionally regulated subsidiary within the meaning of section 5(c)(5) 
of the Bank Holding Company Act of 1956, as amended (12 U.S.C. 
1844(c)(5)).
    (b) * * *
    (3) Consumer means an individual.
* * * * *

0
33. Add Sec.  41.92 to read as follows:


Sec.  41.92  Examples.

    The examples in Appendix J and Supplement A to Appendix J are not 
exclusive. Compliance with an example, to the extent applicable, 
constitutes compliance with this subpart. Examples in a paragraph 
illustrate only the issue described in the paragraph and do not 
illustrate any other issue that may arise in this subpart.

Appendices C and E to Part 41 [Removed and Reserved]

0
34. Remove and reserve Appendixes C and E to part 41.

Appendix J to Part 41 [Amended]

0
35. Amend Appendix J to part 41 by:
0
a. In section III, paragraph (a), removing the phrase ``(31 CFR 
1020.220)''; and
0
b. In item 3. of Supplement A to Appendix J, removing the phrase ``as 
defined in Sec.  41.82(b)'' and adding in its place the phrase ``as 
defined in 12 CFR 1022.82(b)''.

PART 133 [REMOVED]

0
36. Remove part 133.

PART 136 [REMOVED]

0
37. Remove part 136.

PART 160--LENDING AND INVESTMENT

0
38. Revise the authority citation for part 160 to read as follows:

    Authority:  12 U.S.C. 1462a, 1463, 1464, 1467a, 1701j-3, 1828, 
3803, 3806, 5412(b)(2)(B); 42 U.S.C. 4106.


Sec.  160.60  [Amended]

0
39. In Sec.  160.60, amend paragraph (c)(1)(i) by removing the phrase 
``part 164 of this chapter'' and adding in its place ``part 34, subpart 
C of this chapter''.


Sec.  160.172  [Amended]

0
40. Amend Sec.  160.172 by removing the phrase ``part 164 of this 
chapter'' and adding in its place ``part 34, subpart C of this 
chapter''.

PART 163--SAVINGS ASSOCIATIONS--OPERATIONS

0
41. Revise the authority citation for part 163 to read as follows:

    Authority:  12 U.S.C. 1462a, 1463, 1464, 1467a, 1817, 1820, 
1828, 1831o, 3806, 5101 et seq., 5412(b)(2)(B); 31 U.S.C. 5318; 42 
U.S.C. 4106.


Sec.  163.177  [Removed]

0
42. Remove Sec.  163.177.

PART 164 [REMOVED]

0
43. Remove part 164.

PART 171 [REMOVED]

0
44. Remove part 171.

PART 196 [REMOVED]

0
45. Remove part 196.

    Date: May 13, 2014.
Thomas J. Curry,
Comptroller of the Currency.
[FR Doc. 2014-11406 Filed 5-15-14; 8:45 am]
BILLING CODE 4810-01-P