Slide 1: OCC Compliance Policy and Office of the Ombudsman The NAACP Western Region I
Civil Rights Advocacy Training Institute
Economic Empowerment Breakfast
Saturday, May 5, 2007
Slide 2: 2 Compliance Policy Division Organizational Structure
Primary Function
Secondary Function
Slide 3: 3 Primary Function Expert Advice to OCC Executive Management
Examination Development and Guidance
Examination Support
Systemic Analysis of Key Issues
Slide 4: 4 Secondary Function Interagency Coordination
Examiner Training and Development
Industry Outreach
External Representations
Slide 5: 5 Types of Examinations Community Reinvestment Act
Fair Lending
Consumer Lending Regulations
Consumer Deposit Regulations
Other Regulations
Slide 6: 6 Examination Outcomes Community Reinvestment Act Public Evaluations
Reports of Examination
Other Communication Methods
Periodic Examination Follow-up
Slide 7: 7 Consumer Input Community Reinvestment Act – Comment Letters
Corporate Application Process – Comment Letters
Home Mortgage Disclosure Act – Review of Public Data
Slide 8: 8 Tools You Can Use www.occ.treas.gov
www.ffiec.gov
www.occ.treas.gov/customer.htm
www.google.com
Slide 9: 9 Office of the Ombudsman
Slide 10: 10 Mission Statement The Ombudsman’s office is organized around core principles of dispute resolution and customer service. The office seeks to ensure that national banks and customers of national banks receive fair and expeditious resolution of their complaints through two distinct units within the office:
Customer Assistance Group
National Bank Appeals Process
Slide 11: 11 Office of the Ombudsman OMBUDSMAN National Banks Other Engaged Parties Customer-Focused OCC Public
Slide 12: 12 The OCC’s Office of the Ombudsman What We Do
National Bank Appeals Process
Customer Assistance Group
How the OCC Uses Consumer Complaints
Supervisory Process
Guidance to the Industry
Enforcement Authority
Top Issues for Consumers
Credit Cards
Checking Accounts
Home Mortgages
Slide 13: 13 CAG Technology Quality Assurance Program
Slide 14: 14 Complaints Are An Opportunity Complaints can serve as an early warning system for potential problems.
Rising complaint volume may be an indicator of risks: Compliance Strategic Transaction Reputation
Slide 15: 15 Case Processing Volumes
Slide 16: 16 Complaints by Major Product Type 2006 HELOCS & HELS (Home Equity Lines of Credit & Home Equity Loans)
CCards (Credit Cards)
Slide 17: 17 *Fees and Charges Returned to Customers *Information based upon Complaint Closed Date
Slide 18: 18 Customer Assistance Group Assists customers of national banks and operating subsidiaries of national banks who have complaints related to applicable banking laws and regulations
Provides informal consumer education on banking
Facilitates communication between the bank and its customers
Slide 19: 19 OCC’s Office of the Ombudsman Mailing Address
1301 McKinney Street
Suite 3450
Houston, TX 77010
Phone
800-613-6743
713-336-4300
713-336-4351 (fax)
Internet
www.occ.treas.gov
E-mail
customer.assistance@occ.treas.gov
Samuel.Golden@occ.treas.gov or Craig.Stone@occ.treas.gov
Slide 20: 20 Questions from the Group
Slide 21: 21 Appendix
Slide 22: 22 Examples of Regulatory Guidance Issued in Response to Consumer Complaints Anti-Predatory Lending
Guidance 12 CFR 34.3 Service Members Civil
Relief Act
AL 2004-8 Interagency Guidance on Overdraft Protection
AL 2005-18 Credit Card Repricing and Promotional Rates
AL 2004-10 Unauthorized Transfers
(EFT)
AL 2001-9 Guidance on Unfair or Deceptive Practices
AL 2002-3 Credit Card Lending Account Management
AL 2003-1 Secured Credit Card Lending Guidance
AL 2004-4
Slide 23: 23 Staff Profile CAG is comprised of more than 70 compliance professionals including:
9 national bank examiners
15 certified regulatory compliance managers
1 certified risk professional
1 certified internal auditor
1 individual with a law degree
Our staff is comprised of consumer compliance and bank
operations professionals or individuals with previous experience in
Bank Supervision. The majority of the staff join us from major bank
Companies, such as JPM Chase, Bank of America, Citibank, American
Express, Washington Mutual, Wachovia, and Wells Fargo.
Slide 24: 24 CAG Organizational Chart
Slide 25: 25 Complaint Life Cycle Initial
Contact
Phone, mail, fax
or E-mail Receipt of
Complaint
Written with customer’s
signature Document
Scanning
Unique case is created and
documents are added. Review Bank
Response *
Case sent to CAG for resolution.
Specialist reviews the response.
Case could be closed at this point
or sent back to the bank for
additional information. Review w/
Supervision
As needed or as part of the annual
presentation to bank management Final Review
Case Closing
Specialist reviews any
subsequent information
provided by the bank and/or
additional information
from consumer. In cases involving
technical legal interpretations,
counsel and guidance are provided
by OCC Chief Counsel’s Office. Initial
Review
Specialist reviews issue to
ensure proper authorization,
bank assignment, etc.
Case is set to transfer to
bank via CAGNet. Complaint
Analysis
Conducted by CAG Analyst,
Team Manager, Supervisory staff *Are the bank’s actions consistent with applicable laws and regulations?
*Was the customer treated fairly?
*Bank customers who disagree with our findings may appeal to the Deputy Ombudsman.
Slide 26: 26 Selected Products with Significant Complaint Volume
Slide 27: 27 Distribution of Credit Card Complaints 2006 FDCPA (Fair Debt Collection Practices Act)
FCRA (Fair Credit Reporting Act)
ECOA (Equal Credit Opportunity Act)
Slide 28: 28 Distribution of Checking Account Complaints 2006 EFTA - Reg E (Electronic Fund Transfer Act and Regulation E)
UCC (Uniform Commercial Code)
FCRA (Fair Credit Reporting Act) FDCPA (Fair Debt Collection Practices Act)
TISA - Reg DD (Truth in Savings Act - Regulation DD)
Slide 29: 29 Distribution of Mortgage Complaints 2006 RESPA (Real Estate Settlement Procedures Act)
FDCPA (Fair Debt Collection Practices Net) FCRA (Fair Credit Reporting Act)
ECOA (Equal Credit Opportunity Act) Customer
Service
50%