With the launch of the fledgling Consumer Financial Protection Bureau a mere five weeks away, a top bank supervisor at the Bureau told American Bankers Association members that the CFPB is “all engines ready to go,” according to a report from Bloomberg News.
Steven Antonakes, who made the announcement, said oversight of banks with more than $10 billion in assets will start July 21, as planned, according to the Bloomberg report.
That oversight includes 111 banks, thrifts and credit unions, which amount to roughly 80% of the country’s banking assets, Bloomberg said.
For those banks under the watch of Antonakes and his CFPB team, it means “point-in-time examinations” that may last anywhere from four to 12 weeks, depending on the complexity and size of the firm.
“Presuming the exam is clean, we’re out of your hair for two years’ time,” he said in the Bloomberg report. “You’ll see us more frequently if there are issues to be addressed,” he continued.
For even larger firms, those with more than $100 billion in assets, the supervision is stronger and will be continuous and more hands-on, especially for banks that are most involved in consumer finance.
The authority of the CFPB will transfer from seven government agencies on July 21, and will include a study on the reverse mortgage industry within a year of its launch. While many have speculated that an agency like the CFPB has never wielded so much power, others are taking a “wait and see” approach.
Read the Bloomberg article.
Written by Elizabeth Ecker
