Fair Lending: Revised Comptroller’s Handbook Booklet and Rescissions

The Office of the Comptroller of the Currency (OCC) has published a revised version of its „Fair Lending“ booklet. This booklet focuses on the factors that shall be considered and incorporated in the supervisory practices of supervising staff members when monitoring or examining the lending practices of OCC supervised institutions. It thereby specifies the supervisory process and methods themselves, outlines requirements pertaining to the documentation of supervisory evaluations, and finally describes the specific risk assessments to be conducted by supervisory staff. The risk assessments outlined in the document include assessments of strategic, reputational, credit, operational, and compliance risk.
This latest revised version includes the following key updates:
– updates to references of rules and regulations that have changed over time (since the last revision in 2010);
– clarification of existing examination scenarios to review fair lending practices and the addition of new scenarios;
– clarification of risk factors to be considered in examinations; and
– clarifications as regards „sound risk management practices and applicable legal standards“.
The revised booklet reflects the OCC’s current approach towards the evaluation of fair lending practices. Any previous versions of the booklet are being rescinded and no longer valid.