Federal Reserve System April 1, 2019 – Federal Register Recent Federal Regulation Documents

Federal Reserve Policy on Payment System Risk; U.S. Branches and Agencies of Foreign Banking Organizations
Document Number: 2019-06063
Type: Rule
Date: 2019-04-01
Agency: Federal Reserve System, Agencies and Commissions
The Board of Governors of the Federal Reserve System (``Board'') has approved changes to part II of the Federal Reserve Policy on Payment System Risk (``PSR policy'') related to procedures for determining the net debit cap and maximum daylight overdraft capacity of a U.S. branch or agency of a foreign banking organization (``FBO''). The changes remove references to the Strength of Support Assessment (``SOSA'') ranking; remove references to FBOs' financial holding company (``FHC'') status; and adopt alternative methods for determining an FBO's eligibility for a positive net debit cap, the size of its net debit cap, and its eligibility to request a streamlined procedure to obtain maximum daylight overdraft capacity.