OCC Final Rules Removing Credit Ratings References

On June 13, the OCC published final rules, which will be effective on January 1, 2013, removing references to credit ratings from its regulations pertaining to investment securities, securities offerings, and foreign bank capital equivalency deposits. The OCC also revised regulations, which are effective immediately upon publication, regarding financial subsidiaries of national banks to better reflect the language of the underlying statute, as amended by Section 939(d) of the Dodd-Frank Act. In addition, the OCC published guidance to assist national banks and federal savings associations in their exercise of due diligence to determine whether securities are “investment grade” when assessing credit risk for portfolio investments. Release. Final Rules. Final Guidance.