News Headlines


OBL Files Comment Letter Opposing Reg II

Last week OBL filed an official comment letter opposing the proposed Reg II interchange cap reduction.


Some Regulatory Agencies Propose Placing Limits on Incentive Compensation

Banking and Housing Regulators reintroduced a 2016 proposed rule that would establish limits on incentive compensation for banks with at least $1B in assets. The Fed and SEC did not join the other regulatory agencies in this proposal, despite the Dodd-Frank requirement that all agencies must work together. 


What Does Reclassifying Cannabis Mean for Banking?

News broke this week that the U.S. Drug Enforcement Agency (DEA) – at the urging of the U.S. Department of Health and Human Services (HHS), the Biden White House, and Congressional Democrats – will move to reclassify cannabis from a Schedule I to Schedule III controlled substance under the US Controlled Substances Act. While a significant policy change it will not have any material impact on a banks ability to provide financial services to the cannabis industry. 


OBL Scores Initial Victory in Case to Protect Commercial Lending in Ohio

Yesterday, the Supreme Court of Ohio accepted an appeal for review that would have significant ramifications for the banking industry. Previously, the Ohio Bankers League led a coalition in the filing of an amicus brief asking the Supreme Court of Ohio to review a decision out of the Ohio First District Court of Appeals that could upend the ability to use industry standard guaranties in commercial lending. The lower court essentially converted all guaranties to suretyships and imposed increased duties on lenders.


Federal Trade Commission Votes to Ban Non-Compete Agreements

On April 23, 2024, the Federal Trade Commission (FTC) held a public hearing where members voted 3-2 to adopt a final rule effectively banning employers from enforcing non-compete clauses against employees with very limited exceptions. This rule, which is largely similar to the proposed rule first announced by the Commission in January of 2023, imposes a “comprehensive ban on new non-competes with all workers.” The new final rule will go into effect 120 days after the rule is published in the Federal Register.


National Data Security Bill Proposed

After months of negotiations, a bipartisan duo of Senators introduced this week a national data security and privacy bill


Congress Pushes back on CFPB Late Fees Rule

This week a congressional review act resolution was introduced to invalidate the latest CFPB rule to lower the safe harbor amount for credit card late fees.


CEO to CEO: New State Homebuyer Plus Program a Game Changer for Banks

Has your bank applied to participate in the State Treasurer’s Homebuyer Plus Program? This is a specialized, tax-advantaged savings account to assist Ohioans on their homebuying journey. Individuals who open an account will have access to above-market interest rates and may also qualify for certain Ohio state income tax deductions. From a banker’s perspective, please don’t confuse it with the State’s other linked deposit programs. The opportunities for participating banks are significant. One small community bank CEO told me this program is a “game changer” since it is a cheap funding source (0.8%). It is also a great way to step up marketing to a younger demographic with desires to become homeowners.


OBL Continues to Push Back on Regulatory Overreach by CFPB

The CFPB continues to operate outside of their statutory authority and the OBL is fighting back using every available avenue. Most recently the OBL signed on to a comment letter pushing back against the CFPB's proposal to implement additional regulation on overdraft services.


Court Grants CFPB's Motion to Move Case on Late Fees to Washington D.C.

Texas Court determined last week that the case brought by the U.S. Chamber of Commerce against the CFPB challenging their late fee ruling would be moved to Washington D.C.