December 20, 2024
To our clients and friends:
On December 10, the National Credit Union Administration issued to all federally insured credit unions Letter 24-CU-03 entitled “Consumer Harm Stemming from Certain Overdraft and Non-Sufficient Funds Fee Practices.” The guidance describes certain fee practices that the NCUA believes are likely considered “unfair” or “deceptive” practices under federal law, exposing credit unions to the risk of an enforcement action. The guidance also sets out a series of risk management principles for credit unions that charge these fees. The guidance suggests the NCUA will examine credit unions for these practices and pursue enforcement actions against those institutions that continue to rely on fee income generated by these practices. Our Alert regarding the NCUA’s supervisory priorities is available here.
Luse Gorman routinely advises credit unions on compliance issues, regulatory questions, and enforcement actions, and counsels those institutions on the impacts of new developments at the federal and state level. To learn more about our firm and services, please visit our website.
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December 18, 2024
On December 16, 2024, Berkshire Hills Bancorp, Inc. announced that it has entered into subscription agreements with investors to raise $100 million of capital to support its proposed merger of equals with Brookline Bancorp, Inc.
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December 17, 2024
On December 16, 2024, Berkshire Hills Bancorp, Inc., the holding company for Berkshire Bank, and Brookline Bancorp, Inc., the holding company for Brookline Bank, Bank Rhode Island and PCSB Bank, announced their agreement to enter into a merger of equals, with Berkshire Hills Bancorp and Brookline Bank as the surviving entities. The all-stock transaction is valued at approximately $1.1 billion.
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December 10, 2024
Zac Davis presented at the Elliott Davis Financial Services Strategy Forum. The presentation addressed current hot topics for financial institutions focusing on the current regulatory environment, the landscape for mergers and acquisitions and capital raises, a summary of recent Supreme Court cases and the potential effects of the 2024 election for financial institutions.
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December 9, 2024
To our clients and friends:
Today we published Volume 12 of The Bankers’ Bulletin, our last edition of the year. You can find a copy here.
In this volume, we outline some of our early predictions of the potential impacts of the November election on bank regulation, supervision, examination, and enforcement.
We also cover the FRB’s semiannual supervision and regulation report, FinCEN’s alert on fraud schemes involving AI, the aftereffects of recent community bank failures, legislative and regulatory developments involving credit unions, and more.
We welcome feedback on what you would like to see covered by the Bulletin in the new year. If you have any feedback, or questions related to any of the items covered in this volume of the Bulletin, please reach out to Brendan Clegg (bclegg@luselaw.com), Marc Levy (mlevy@luselaw.com), Agata Troy (atroy@luselaw.com), or your regular Firm contact. To learn more about our firm and services, please visit our website.
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