To: All Member Banks and Others Concerned in the Third Federal Reserve District

Attention: Compliance Officer

Subject: Regulation C - Postponement of Effective Date


On February 15, 2002, the Federal Reserve Board published in the Federal Register amendments to Regulation C effective for data collected beginning January 1, 2003, and solicited comment on several related issues with a comment period that closed on April 12. Financial institutions and their trade associations requested a postponement of the effective date until January 1, 2004. After weighing financial institutions' reasons for postponement against public policy benefits of collecting the new data as soon as possible, the Board determined that some HMDA reporters might not be able to fully implement the new rules by January 1, 2003, without jeopardizing the quality and usefulness of the data and incurring substantial additional implementation costs that could be avoided by a postponement. Accordingly, the Board is changing the effective date of the amendments from January 1, 2003, to January 1, 2004. The Board is, however, adopting an interim amendment to Appendix A, effective January 1, 2003, mandating the use of 2000 census data.

Effective Dates: The effective date of the amendments to Regulation C (12 CFR Part 203) published February 15, 2002, at 67 FR 7222 is delayed from January 1, 2003, to January 1, 2004. The interim amendment to Appendix A to Part 203 is effective January 1, 2003.

Additional Information: Supplementary information and the authority citation for Part 203 are attached (12 KB, 3 pages). For additional information, contact the Regulations Assistance Unit at this Reserve Bank at (215) 574-6568 or Kathleen C. Ryan, Senior Attorney, or Dan S. Sokolov, Attorney, Division of Consumer and Community Affairs, Board of Governors of the Federal Reserve System, Washington, D.C. 20551 at (202) 452-3667 or (202) 452-2412.