One of the benefits of your credit union's League membership is access to InfoSight--a valuable online compliance resource. This newsletter contains some timely highlights, and access to InfoSight is a benefit of League affiliation, so it is password-protected. If you have a specific compliance issue or concern, contact our Consulting Department at (800) 285-5300. Replies to this email will be directed to SVP, League Services & Regulatory Analysis Joe Guilfoy .
InfoSight News
Happy New Year!
We hope you all enjoyed a wonderful time over the holidays and are ready for another exciting year of Compliance! At the beginning of 2020 there were several regulatory updates that that can be found under the Full Compliance Calendar (Current Year) section of the Compliance Calendar . The default view of the Compliance Calendar displays upcoming dates and since a few of these have passed, we wanted to make sure you didn’t miss them!
  • January 1st, 2020: Annual Updates
  • January 1st, 2020: HMDA Thresholds/Regulation C (CFPB)
  • January 2nd, 2020: NCUA Federal Credit Union Bylaws
  • January 6th, 2020: NCUA Supervisory Committee Audits and Verifications
Compliance News
Compliance Connection Video
The Compliance Connection video for 4th Q 2019 and 1st Q 2020 provides an overview of regulatory changes that may be impacting the credit union, effective in the 4th quarter of 2019 and 1st quarter of 2020. Included are:
  • NCUA changes
  • CFPB updates
  • NACHA Fast Funds Availability
NCUA Priorities for 2020
The NCUA has published their 2020 Supervisory Priorities in a Letter to Credit Unions .

Source: NCUA
IRS Mileage Rates for 2020
The Internal Revenue Service has  issued the 2020 optional standard mileage rates  used to calculate the deductible costs of operating an automobile for business, charitable, medical or moving purposes.
 
Beginning on January 1, 2020, the  standard mileage rates  for the use of a car (also vans, pickups or panel trucks) will be:
 
  • 57.5 cents per mile driven for business use, down one half cent from the rate for 2019,
  • 17 cents per mile driven for medical or moving purposes, down three cents from the rate for 2019, and
  • 14 cents per mile driven in service of charitable organizations.
 
Source: IRS
SECURE Act changing the IRA rules
With the signing of the Setting Every Community Up for Retirement Enhancement Act of 2019 ( SECURE Act ), many of the longstanding rules for IRAs and other retirement accounts have been radically changed. Starting with tax year 2020—
  • The maximum age (70½) for IRA contributions has been eliminated.
  • The age at which required minimum distributions must begin has been pushed up from 70½ to 72.
  • Inherited IRAs (except those inherited by the decedent's spouse and certain other individuals) will have to be distributed within 10 years.
 
Source: US Congress
Card and ACH payments continue to increase
The Federal Reserve Board  announced recently  that the growth of payments using debit and credit cards and the ACH system continued to accelerate from 2015 to 2018, while check payments continued their long-run decline. The  2019 Federal Reserve Payments Study  shows that the growth rate of core noncash payments, defined for the report as debit card, credit card, ACH, and check payments, was 6.7 percent per year between 2015 and 2018. During the prior three-year survey period, core noncash payments grew at a rate of 5.1 percent per year.
 
Source: FRB
Australia Credit Unions Offering Brushfire-Related Assistance
Australia’s credit unions, mutual banks and building societies are providing a variety of services to people affected by the country’s brushfires—ranging from delayed loan payments to additional time off for volunteer firefighters.
 
“Australia’s customer-owned banking sector has a long history of supporting its customers and communities in times of need,” Michael Lawrence, CEO of the Customer Owned Bank Association (COBA) said.
 
COBA represents 72 financial institutions serving more than four million members. Lawrence, a member of the board of the World Council of Credit Unions, urged those affected by the fires to contact their financial institutions.
 
Credit Union Australia, the nation’s largest credit union, has pledged $150,000 to assist efforts to contain the fires and protect properties in New South Wales, Queensland and Victoria. That follows a $50,000 donation the credit union made to the Australian Red Cross.
CEO Paul Lewis said that any CUA employees performing duties as volunteer firefighters or with other brushfire assistance are eligible to claim up to four weeks of paid leave.
The credit union also is introducing a special payment plan for team members whose partners are fighting the fires.
 
“Whether it is a CUA team member on the fire-ground, or their partner, those volunteers should not have to go without pay or dip into their annual leave when they are performing such a vital, and valued, community service,” Lewis said. “While volunteers may not expect to be paid, they deserve to be remunerated for their time and their bravery in dangerous and unpredictable conditions.”
 
The credit union also is offering a disaster relief package, which may include a suspension of loan payments and fees for up to three months and assistance for credit card users.
 
Source: CU Times
Advocacy Highlight
Treasury and IRS propose rule on misdirected refunds
The IRS has published [ 84 FR 70462 ] proposed regulations concerning the procedures for identification and recovery of a misdirected direct deposit refund. The regulations reflect changes to the law made by the Taxpayer First Act. The proposed regulations affect taxpayers who have made a claim for refund, requested the refund be issued as a direct deposit, but did not receive a refund in the account designated on the claim for refund. Comments and requests for a public hearing must be received by February 21, 2020.
Proposed Regulations Needing Comments:
CUNA's Advocacy Resources:
Weekly Regulatory Advocacy Report
The Weekly Advocacy Report provides links to information about a number of recent League, CUNA and NCUA regulatory and advocacy activities. 
   
Upcoming Education Sessions
The League has several education sessions coming up. Several focus on compliance issues. They are listed in calendar format on the League website.
   
League Consulting Department Staff
(800) 285-5300
Compliance Calendar
There's more available from InfoSight
InfoSight content is available anytime to get sample policies, links to federal regulations and summaries of issues that are hot-topics at your credit union. 
 
Access to InfoSight is a benefit of League affiliation, so it is password-protected. If you don't have a password or if you have forgotten yours, click on the tan "Log In" button in upper right corner of the site; a box will open. Click on the blue wording to get your password.