Bank Service Company Examination Coordination Act of 2023

Bill 118 HR 1109, also known as the Bank Service Company Examination Coordination Act of 2023, aims to improve the coordination and efficiency of examinations of bank service companies by federal and state regulatory agencies. Bank service companies are entities that provide services to banks, such as data processing, loan servicing, and check clearing.

The bill requires federal banking agencies, such as the Federal Reserve and the Office of the Comptroller of the Currency, to coordinate their examinations of bank service companies with state regulatory agencies. This coordination is intended to reduce duplication of efforts and streamline the examination process, ultimately saving time and resources for both regulators and the companies being examined.

Additionally, the bill establishes a framework for sharing examination reports and other relevant information between federal and state regulators. This information sharing is crucial for ensuring that all regulators have a comprehensive understanding of a bank service company's operations and compliance with regulations. Overall, the Bank Service Company Examination Coordination Act of 2023 aims to promote greater efficiency and effectiveness in the examination process for bank service companies, ultimately benefiting both regulators and the companies themselves.