Crypto-friendly Cross River Bank has fallen under the target of the US Federal Insurance Deposit Agency (FDIC) due to its unsafe enforcement procedures.
Cross River Bank, due to unsafe or unsound banking practices from the FDIC consent order took. Posted in 34-page consent order The officials, who did not include a very clear statement, targeted the internal functioning of the bank in the past period.
Although the consent order is a court decision, in some cases it pending trial can also be used for In addition, the consent order is issued by an administrative agency to an agency that violates a law or regulation. to impose sanctions directly can also be used. The following statements in the details of the document drew attention:
The FDIC considered the matter and determined that it neither admitted nor denied that the bank had engaged in unsafe or unsound banking practices related to its internal controls, information systems, and compliance with current regulations.
Commenting on the subject Cross River Bank spokespersonstated that the decision targeted an implementation procedure two years ago and was the result of a standard review of the bank’s lending processes. Also, available Fintech to credit products currently offered jointly to them with their partnerships or under this decision. no restrictions imposed highlighted:
We identified areas for improvement prior to the review, and the review identified others. Since then, we have proactively made significant improvements to our fair lending and other programs, including investments in technology and personnel. Many of these improvements are currently complete or will be completed in the coming months.