Regulatory Compliance School
August 13 - 17, 2012 in Pasadena


Approved for 41.75 credits by the ABA Institute of Certified Bankers (ICB) toward your Certified Regulatory Compliance Manager (CRCM) certification!

The second year of Dodd-Frank brings an increased focus by federal regulators on protecting consumers from alleged bank excesses, more so now that the Consumer Financial Protection Bureau has a Deputy Director. You’ll see more emphasis on the compliance management and oversight responsibilities of senior management and Directors. Also you’ll be subject to a steadily increasing ramp-up of Fair Lending issues (and penalties).

Bank compliance today requires the type of information and support that begins with the CBA’s Regulatory Compliance School; it encompasses a network of peers you will get to know at the School. . .and provides the awareness bankers need when managing a cost effective compliance system.

Today, banks are under greater compliance scrutiny than they have seen in decades. There will be substantial changes coming to HMDA, TILA and RESPA on the loan side, and to Regulations CC and DD on the deposit side, plus the plethora of new rules that will be promulgated and revised by the new CFPB. The future promises more regulatory responsibilities for banks and CBA’s Regulatory Compliance School, reflects the current and latest regulatory changes. The School will give you the tools and resources you need to successfully navigate the world of compliance.

Our Regulatory Compliance School is the core of cost-effective compliance management in a regulatory world where compliance officers and staff. . .directors and management. . .BSA officers. . .and the bank itself are under increasingly intense scrutiny.

This five-day program will help you develop an essential technical understanding of major compliance issues, and lay the groundwork for developing and maintaining an effective compliance program. CBA’s Regulatory Compliance School is designed around three core modules:

  • Lending compliance (Regs Z and B, fair housing, RESPA, FCRA, HMDA, flood insurance)
  • Deposit/operations compliance (BSA/USA Patriot Act, OFAC, Regs D/Q, DD, E and CC, privacy and e-compliance)
  • Compliance management (Developing and managing a compliance program and integration techniques for compliance programs)

Who Should Attend

  • Compliance officers
  • Auditors
  • Lending personnel
  • Deposit/operations
  • Attorneys

Dates & Location

Monday, August 13, 2012 – Friday, August 17, 2012

The Westin Pasadena
191 North Los Robles Avenue
Pasadena, CA 91101
(626) 792-2727

A room block has been arranged at a rate of $149/night.  Please contact the hotel directly to arrange and reference the California Bankers Association.  If you prefer to make your reservations online, please click the following link: Westin Pasadena Room Block.


Early-Bird Registration (Register by July 13, 2011)
CBA Member: $2,900
Non-Member: $3,900

Regular Registration
CBA Member: $3,200
Non-Member: $4,200


(Breakfast will be available from 7:00 – 8:00 each morning)

At the end of each day the instructors will conduct “study groups” for those participants who have questions or who would like additional help on any of the topics covered that day.

DAY ONE (8:00 a.m – 4:30 p.m.)


At the conclusion of day one, participants should be able to demonstrate their knowledge of the following:

  • Differentiate between an application and an inquiry for disclosure purposes, describe the eight stages of an application and identify the latest fair lending issues;
  • Understand key regulatory provisions of lending rules such as furnishing adverse action notices, right of rescission and new FACTA disclosure requirements;
  • Calculate flood insurance coverage for residential, commercial and condos using replacement cost value rules; and
  • Describe finance and prepaid charges, do recalculations, know APR tolerances and how to disclose payment streams on the new Truth in Lending forms.

Program Introduction

Credit Compliance, Part I

Mortgage and Consumer Lending products have some separate rules and both are subject to complex and detailed compliance regulations. And the risk of noncompliance increases the likelihood of civil money penalties. This program offers a comprehensive discussion of consumer compliance regulations and effective assessment methods. Lenders and compliance officers will be better prepared to effectively train and manage the bank’s compliance lending requirements.

Reg B: Equal Credit Opportunity Act

  • Equal treatment and anti-discriminatory issues
  • How to handle inquiries, withdrawals, denials, completed and incomplete loan applications
  • Preparing New Adverse action notices
  • Collection of government monitoring information
  • Prohibitions against certain inquiries

Fair Credit Reporting Act

  • Credit report access prohibitions
  • Access to credit scores by consumers
  • Fair and Accurate Credit Transactions Act (FACTA)
  • FACTA lending notices

National Flood Act

  • Identifying what loans are covered
  • Knowing when to pull flood determinations
  • Giving flood notices and requirements
  • Understanding the new replacement cost value rules
  • Learning flood coverage rules and myths
  • Hearing the latest flood exam procedure

Reg Z: Truth in Lending Acts

  • Learning the new consumer loan rules
  • Preparing a mortgage loan TIL
  • Identifying and calculating prepaid finance charges
  • Following APR disclosure rules
  • Using APRWIN software
  • Covering the new jumbo loan rules for HPMLs
  • Failing to comply with the right of rescission rules consequences

DAY TWO (8:00 a.m. – 4:30 p.m.)


At the conclusion of day two, participants should be able to demonstrate their knowledge of the following:

  • Understand loan originator compensation and anti-steering rules under Reg Z;
  • Understand PMI disclosure requirements for originating and terminating PMI coverage;
  • Prepare a Good Faith Estimate and HUD Settlement Statement according to RESPA 2010 and non-compliance curing errors;
  • Prepare GFE’s for “no cost and paid outside of closing charges” plus testing for HUD tolerance exceptions;
  • Recognize when kickback provisions expose the bank to penalties, calculate the initial escrow statement and perform an ongoing annual accounting adjustment when there is an escrow funding surplus, shortage or deficit; and
  • Complete a HMDA report and understand the coding rules to determine what transactions are HMDA reportable

Credit Compliance, Part II

This segment focuses on the additional regulatory requirements for mortgage lending – the most complex of all consumer loans. Current information is essential for managing an effective compliance program.

Regulation Z Continued

  • Setting up a loan originator compensation program
  • Recalculating finance charges
  • Verifying how to identify covered transactions
  • Reviewing what makes a High Priced Mortgage Loan
  • Looking at a new sample GFE and TIL

SAFE Act Rules

  • Identifying who is covered
  • Determining when the de minis exception rule applies
  • Reviewing what information loan originators must furnish
  • Ensuring that training requirements are met
  • Finding out who should perform monitoring

Homeowners Protections Act

  • Understanding PMI cancellation rules
  • Providing the right PMI account disclosure
  • Completing critical PMI disclosure fields

Reg X: Real Estate Settlement Procedures Act (RESPA)

  • Preparing good faith estimates and HUDs
  • Identifying “kick back” violations
  • Applying the right tolerance thresholds to loan charges
  • Curing charges that exceed tolerances
  • Calculating escrow amounts on initial and ongoing disclosures

Reg C: Home Mortgage Disclosure Act (HMDA)

  • Who must report
  • Identifying what and when to report
  • Capturing government monitoring information
  • Identifying what loans are subject to rate spread reporting
  • Calculating rate spreads
  • Setting HMDA audit sampling sizes
  • Discussing common violations

DAY THREE (8:00 a.m. – 4:30 p.m.)


At the conclusion of day three, participants should have:

  • Identify the information that must be disclosed to deposit account customers;
  • Recognize compliance solutions that can enhance sales and operations processes;
  • Identify and correct deficiencies that might exist in deposit account disclosures; and
  • Understand deposit regulations with an eye toward UDAAP.

Deposit Compliance, Part I

Consumer deposit products, services and delivery methods have changed dramatically due to the Dodd-Frank Act. Regulatory amendments and new interpretations have created an extremely complex deposit environment. This program provides a comprehensive discussion on critical deposit account rules. Compliance officers and personal bankers will be better prepared to identify solutions in the deposit account front-line sales and operations areas.

Reg Q: Interest on Demand Deposits

  • What’s left?
  • Interest-bearing DDA Vs NOW Accounts
  • Do we still have premium rules?

Reg D: NOW Eligibility and Savings/MMDA Limits

  • What’s left?
  • What changed?
  • What are the early withdrawal penalty rules?
  • What are the reserve requirement rules? How do they impact compliance?

Reg E: Electronic Funds Transfer Act

  • Disclosures and notices
  • Resolving error claims
  • Electronic check conversion
  • Customer education
  • Remote deposit capture
  • ATM and one-time debit card transactions (new interpretations)
  • Mobile banking

Reg CC: Expedited Funds Availability Act

  • Disclosures
  • Hold Notices
  • What’s new!
  • Check 21 and Substitute Checks
  • Current challenges

Reg P/Privacy and Information Sharing “Opt Outs”

  • Reg P rules
  • New model form (01/01/11)
  • “Do Not Call” rules
  • Do not market/solicit policies

Fair Credit Reporting Act/ID Theft “Red Flags”

  • Address discrepancies
  • Credit report alerts
  • Affiliate marketing
  • Credit Reports used on the deposit side

DAY FOUR (8:00 a.m. – 4:30 p.m.)


At the conclusion of day four, participants should have:

  • Understand Truth in Savings (Reg DD) rules;
  • Understand latest enforcement trends for TISA/Reg DD (including UDAP);
  • Establish a comprehensive BSA/AML program; and
  • Demonstrate knowledge of the details and bank-wide impact of selected rules.

Deposit Compliance, Part II and BSA/AML Compliance

This program examines legal and regulatory requirements in several key areas that impact customer relationships throughout the bank. Emphasis is placed on recent changes, evolving BSA/AML developments, and the need to establish comprehensive programs bank-wide.

Reg DD: Truth in Savings Accounts (TISA)

  • Disclosures
    • Account disclosures
    • Subsequent disclosures/notices
    • Statement disclosures
  • Unfair, deceptive, or abusive practices
  • Using consistent terminology
    • Promotion
    • Disclosure
    • Training
  • Advertising compliance

BSA, AML and USA Patriot Act

  • Program components
  • Technical requirements
  • Completing CTRs
  • Filing exemptions
  • Bank/enterprise-wide risk assessment
  • Customer due diligence and enhanced due diligence
  • Suspicious activity monitoring
  • 314(a) searches
  • Current trends/schemes
  • Recent exam findings
  • Applying lessons learned from enforcement actions

Legal Review
Leland Chan, SVP/CBA General Counsel

  • What regulatory issues are currently hot topics for the industry?
  • What actions is the industry taking?
  • What is the potential impact on the industry?
  • What California laws may affect interpretation of certain federal laws, such as the FACT Act and privacy regilations?

DAY FIVE (8:00 a.m. – 3:30 p.m.)


At the conclusion of day five, participants should have:

  • Understand alternative ways to develop risk-based compliance management systems;
  • Develop and implement a comprehensive program;
  • Assess compliance risks for your bank;
  • Understand the keys to working with regulators and your bank’s senior management; and
  • Present a compliance program that demonstrates your competence and value.

Compliance Management and Administration

As the complexity and pervasiveness of regulatory compliance increases, so does the importance of a structured compliance program. This program introduces a comprehensive compliance program that will satisfy regulators, mitigate regulatory risk and meet institutional goals.

Compliance Management Systems

  • What policies are needed?
  • How to start writing policies
  • When should policies be reviewed?
  • Impact of CFPB on Compliance Program
  • Comprehensive risk assessment
  • How? – different methodologies
  • How often?
  • “Change Control”
  • New rules (from the legislative process to implementation)
  • New products/services/systems (from concept to post-implementation testing)
  • Managing third party compliance relationships (compliance vendor management)

Compliance Monitoring

  • Identifying activities that need to be periodically monitored
  • Identifying how often monitoring should occur
  • Who should complete monitoring
  • Reporting monitoring findings

Assessment – Independent Compliance Reviews/Audits

  • Identifying areas, rules, or activities
  • Determining frequency
  • Process review or transaction testing or both
  • Who will conduct?
  • Independent internal reviews
  • Trusted partners
  • Oversight
  • Setting the scope
  • Evaluating the report

Accountability – Compliance, Whose Job Is It?

  • Compliance responsibilities in Job Descriptions
  • Compliance responsibilities in Performance Evaluations
  • Dealing with Willful Non-Compliance


  • Identifying “root cause”
  • Tracking and fixing
  • Validating corrective action


  • Who? What? When? How?
  • Tracking

Preparing for Examination

  • Planning ahead
  • Being prepared
  • Controlling the examiner interview process
  • Handling exceptions
  • Participating in the “wrap up” meeting

Resources and Networking with Compliance Professionals

Final Exam



Tom Thomas – Lead Instructor
Tom Thomas, founder and president of the Thomas Compliance Associates, Inc. (TCA), has been a knowledgeable, respected part of the financial compliance scene for more than 30 years. He has written compliance books, guides and countless articles on banking compliance issues. Thomas also is a bank director and shares information which enables participants to understand compliance from management’s perspective. TCA, is recognized as one of the top compliance consulting firms in the financial industry.

William (Wylli) J. Foote – Instructor
William (Wylli) J. Foote, director of TCA’s unique VCM services, has more than 30 years of bank regulatory compliance and risk management experience. In addition to his involvement with our regulatory school, he is a trainer/speaker for the American Bankers Association. A graduate of the ABA’s Graduate School of Banking, National Compliance School and National Graduate Compliance School, Foote serves on the Editorial Advisory Board for the ABA Bank Compliance Magazine and has served on numerous IBA and ABA committees.

Additional speakers will include: Leland Chan, SVP, CBA general counsel.

Frequently Asked Questions

Will I receive credits towards the CRCM designation?

Yes, you will. The program has been certified by the ABA, Institute of Certified Bankers for 43.75 credits. You will also earn 27.5 CLBB (Commercial Lending Business Banker) credits.

Can I register for just the Deposit or Credit/Lending modules?

Yes, you can. Pricing for only the lending module (2 days) or the deposit module (2 days), w/the option of also attending the compliance management module (if requested when registering):

  • Member cost is $1,945 early bird and $2,095 regular (regardless if you choose to go to the compliance management session or not).
  • Non member cost is $2,445 early bird and $2,595 regular.

NOTE: These registrations can not be done online, only by fax.