In the coming months the OCC will assess the spillover effectsof the ongoing oil price slump and evaluate how banks are stress testing affectedloans.
The regulator outlined its supervisory priorities in a report out Wednesday. The OCCsaid its supervisory focus will include areas like credit risk management and inparticular concentration risk management in the second half of the fiscal year,which ends Sept. 30. The OCC said it will assess banks' effectiveness in applyingBank Secrecy Act/anti-money laundering controls, complying with TILA/RESPA requirementsand preparing for implementation of the Military Lending Act.
In the first half of the fiscal year the OCC said it issued 557examination reports to bank boards and management teams and directed them to implementremedial actions in cases of weaknesses or undue risk.