FFIEC Issues HMDA Examiner Transaction Testing Guidelines
On August 23, 2017, the Federal Deposit Insurance Corporation (FDIC) issued Financial Institution Letter FIL 2017-36. The letter announces that the Federal Financial Institutions Examination Council (FFIEC) is issuing guidelines for examiners to use in assessing the accuracy of the Home Mortgage Disclosure Act (HMDA) data institutions record and report.
The HMDA Examiner Transaction Testing Guidelines (Guidelines) describe FFIEC procedures for sampling and validating HMDA data. The Guidelines should assist financial institutions seeking to better understand the approach the FDIC will use to assess HMDA data as part of the examination process.
Statement of Applicability to Institutions with Total Assets under $1 Billion:
This Financial Institution Letter applies to all FDIC-supervised institutions subject to HMDA and Regulation C. An HMDA exemption applies to institutions with assets at or below a threshold specified in Regulation C.