2016 is a special year for us. Oak Tree Business Systems, Inc. is celebrating two important milestones. First, we celebrate our CEO. Richard Gallagher has been courageously leading us for 26 years; through change and challenge. Second, celebrate our president. Genelle Rich has been leading and encouraging us for 16 wonderful years. Her personal life is an inspiration that further reflects her character, work ethic and leadership style. Together, these two leadership anniversaries mark 42+ years of continuous management and guidance for Oak Tree. Richard and Genelle are undeniable pillars of our organization. Always standing firm through constantly changing industry “weather” events like mergers, regulation changes and scandal, their leadership and management have brought us to the place we are today.
As a result, Oak Tree Business Systems, Inc. is beyond proud to continue our commitment to the credit union industry. We are rock-solid, standing together with you no matter what comes your way. Since our inception, we have taken that commitment seriously, striving to generate the best possible forms for the credit union industry. For us, that means forms that are compliant and always up to date. That translates over to trust and loyalty for you. We value your business and love having you as our customer.
For the years to follow, we promise to continue to meet your expectations, invariably complying with state and federal regulations, produce nothing but the highest quality of customized forms for you, our credit union customer. We want to say thank you to those of you who have given us the opportunity to work with you. We look forward to many more rock-solid years of serving you.
In short, we want to thank you for your business by taking a moment to sift through the sands of time. Let`s take a walk down credit union compliance memory lane. Take note of major industry changes and see how Oak Tree proved its resilience, time and time again.
History of Oak Tree’s Commitment to the Credit Union Forms Industry
Working in an industry that is constantly generating new regulatory change can mean only one thing... Oak Tree has a big job making sure your forms are kept up to date. Every time an applicable federal regulation or state law changes that affects one of your lending forms, Oak Tree makes the necessary modification to ensure compliance. Come along and take a look back at how we have all walked through some of those changes together. Examples were pulled from our available newsletters and start way back in 1992.
December 1992 - Truth in Savings Act - Oak Tree lets its customer base know that the Truth in Savings Act (Regulation DD) will be going into effect in 1993. The change is meant to assist customers by making depository institutions disclose fee information and other account terms at the request of the consumer and be made available before the account is opened.
February 1993 - New Deeds of Trust/Mortgages - Deeds of Trust/Mortgages used with Oak Tree`s open end home equity program are reviewed for changes that are needed according to changes made by state law. Customers are told that all forms prior to 1993 will be replaced as new forms are made available. Changes to RESPA customers are made aware that the new Housing and Community Act of 1992 will amend the Real Estate Settlement Procedures Act (RESPA). However, Oak Tree lets them know that all changes will not become effective until there is a final rule revision of Regulation X.
June 1993 - HUD Proposes RESPA Expansion - Oak Tree notifies its customers of the new requirements should they go into effect.
August 1993 - Updated Mortgage Deed of Trust Forms - Previously addressed in February, Oak Tree announces that updated forms are ready for other states as well. Customers can begin placing orders for the new forms. IRS Changes Substitute Form Requirements Changes to form 5498 and 1099-R will affect the institutions who use them. Oak Tree gives its customers the exact verbiage that will be modified and tells the where it should be placed on the form.
April 1994 - Truth in Savings Decision Time Oak Tree lets its customers know that now is the time to decide how they are going to handle the Truth in Savings Act. Essentially there are two ways, automated and nonautomated. Customers are encouraged to make a decision before the change becomes mandatory. Final Ruling on Regulation X HUD issues a final ruling on Regulation X which affects RESPA. Oak Tree informs its customers of the changes and how it will affect the home loan arm of their industry.
October 1994 - TIS Existing Account Notification - Oak Tree announces that it has a solution for the disclosure policy requirements of the Truth in Savings Act. Pre-printed statement stuffers are made available for purchase so credit unions can include these when they mail out their periodic statements.
January 1995 - Flood Hazard Regulatory Changes - Oak Tree notifies its customers of changes to flood hazard requirements with respect to their mortgage loans. After a full page spread in the Advantage, Oak Tree lets its customers know that they have a list of 65 flood zone determination companies on hand if needed. California State Changes passes legislation which limits the number and amount of late charges and over limit fees that can be assessed on consumer loans. The matter is pending, but Oak Tree lets the industry know it is keeping an eye on the matter and will make necessary form changes once a decision has been reached.
February 1995 - Home Ownership and Equity Protection Act of 1994 - Federal changes to regulations concerning home ownership are addressed under the new law. Oak Tree customers are made aware of how these changes will specifically affect them.
June 1995 - The Federal Reserve Changes Regulations E, Z, and B - Oak Tree customers are made aware of new rules regarding ATM receipts, disclosures for reverse mortgages, and proposed changes to the Equal Credit Opportunity Act.
May 1996 - Regulation Z Revisions - Customers are made aware that Oak Tree received a 16 page fax outlining revisions to the final ruling concerning Regulation Z. A few pertinent changes are highlighted in the article from The Advantage. Customers are encouraged to review the complete update text to see all applicable changes.
September 1997 - Amendment to Itemization of Amount Financed - Oak Tree lets its customers know that the commentary to Regulation Z was amended to address issues concerning fee add-ons. Credit unions are told that after review, no additional disclosures need to be added.
April 1998 - Regulation Z Penalty Increases - Changes to Regulation Z mean penalty increase disclosures. Oak Tree lets customers know that if they are considering using an increased penalty rate, then Oak Tree will be happy to write the proper disclosure for them.
June 2000 - Millennium Digital Act - Customers are informed that the act validates electronic documents as an acceptable and enforceable means of communicating information to the consumer. Credit unions are given instructions on what they should do if they are interested in using this means of communication. Privacy and Compliance The Gramm Leach Bliley Act generates questions surrounding compliance and privacy. Oak Tree outlines the changes for customers and makes the appropriate disclosure statement available.
Summer 2009 - Regulation D - The Federal Reserve Board amends Regulation D in regards to the definition of a savings account. Oak Tree lets it customers know they can modify their disclosure form if need be to reflect the changes. Regulation Z - The Federal Reserve Board modifies the regulation again regarding annual percentage rates, consumer principal dwelling loans and the like. Oak Tree lets its customers know that it will make the necessary changes and have the necessary forms and disclosure statements available. Credit Card Act of 2009 - Customers are made aware of the compliance issues surrounding the implementation of this act. Oak Tree lets customers know that they will update electronic versions of forms and disclosures by July so customers can get them to their processors by the end of the year. Pre-printed forms will have the necessary changes made and will be ready for the next customer order.
Spring 2010 - Regulation P - The Federal Reserve Board issued final rules regarding Regulation P. The rules changes are meant to make it easier for consumers to understand how financial institutions collect and share their information. This comes with a font change that requires the entire form size to be increased to 8 ½ x 11. Oak Tree lets consumers know they will make the necessary changes and have the forms available for purchase.
Winter 2010 - Truth in Lending - Regulations regarding both open- and closed- end lending change. Oak Tree let its customers know it is modifying the Truth-In-Lending Statement contained in its closed-end dwelling secured forms, so their use will conform to the regulation and be more efficient during the opening and closing process of loans affected by the changes.
Summer 2011 - Regulation B, V, and Z Changes - Lending forms that are affected by this regulatory change are modified and made available to Oak Tree customers. Adverse Action Notice Regulations for forms regarding adverse actions taken against consumers change and Oak Tree makes sure to keep in step. They put out a notice letting their customers know they have a full suite of risk based pricing notices in addition to the adverse action notice.
Winter 2012 - Regulation E Changes are made to regulation E regarding electronic transfers between US banking institutions and those in other countries. Oak Tree makes its customers are aware of the change so they can keep in step with industry compliance.
Additional regulatory revisions and amendments resulted in requirements to integrate certain RESPA and Truth-In-Lending disclosures, inclusion of Nationwide Mortgage Licensing System and Registry (NMLSR) information, increased application of the Military Lending Act (MLA), and an increase in next day availability. In each instance, Oak Tree notified its customers of these changes, while also revising their customer’s electronic forms that were affected.
I am sure reading about some of those changes took you back in time a bit. You remembered the headache or relief depending on which regulation was modified. What a journey! In the face of all the industry change, Oak Tree has been there. We made sure your forms were compliant so you could focus on your customer base. It has been our privilege to serve you and we look forward to the years ahead. Find us at www.OakTreeBiz.com.