Financial Institutions Regulatory Act


DEFINITION of 'Financial Institutions Regulatory Act'

A United States Federal law enacted in 1978 pertaining to depository financial institutions. The act made 5 major changes to these institutions. The act created the Central Liquidity Facility and the Federal Financial Institutions Examination Council (FFIEC), made electronic funds transfers federally regulated, changed the terms under which loans were provided to directors, officers, etc, as well as authorized cease and desist orders to be placed on them.

BREAKING DOWN 'Financial Institutions Regulatory Act'

The FFIEC was formed to offer advice on how to regulate and create standards for depository financial institutions. The Central Liquidity Facility was formed to lend money to credit unions on a short-term basis to help them in times of need.

  1. Credit Union

    Member-owned financial co-operative. These institutions are created ...
  2. Liquidity

    The degree to which an asset or security can be quickly bought ...
  3. Federal Reserve Bank

    The central bank of the United States and the most powerful financial ...
  4. Federal Financial Institutions ...

    An interagency body of the U.S. government made up of several ...
  5. National Credit Union Administration ...

    An agency of the United States federal government that was created ...
  6. Loan

    The act of giving money, property or other material goods to ...
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