July 2023 Monthly Bulletin | The Department of Financial Protection and Innovation

Department of Financial Protection and Innovation Monthly Bulletin

Volume 10, Number 12

2023-24 Assessment Rates for Financial Institutions

On June 30, invoices for the 2023-24 annual assessment were emailed to credit unions and money transmitters. Licensees that did not receive their invoices should notify the Accounts Receivable Unit at AccountingAR@dfpi.ca.gov as soon as possible.

Invoices are payable on or before Aug. 1, with more time allowed for payments made via electronic funds transfers (EFT). EFT payments are due by Aug. 8.

On July 21, the invoice for the 2023-24 annual assessment will be emailed to commercial banks, industrial banks, and trust companies. Licensees that do not receive their invoices should notify the Accounts Receivable Unit at AccountingAR@dfpi.ca.gov as soon as possible.

Invoices are payable on or before August 21, with more time allowed for payments made via electronic funds transfers (EFT). EFT payments are due by August 28.

Assessment Rates for Financial Institutions

The assessment rates for various types of financial institutions is:

• Commercial Banks, Foreign Banks, and Trust Companies: The base rate was set at $1.76 per $1,000 of assets, a $0.37 increase from last year’s rate of $1.39.
• Credit Unions: The base rate was set at $0.99 per $1,000 of assets, a $0.02 reduction from last year’s rate of $1.01.
• Industrial Banks: The base rate was set at $1.76 per $1,000 of assets, an increase of $0.37 from last year’s rate of $1.39.
• Money Transmitters: The assessment rate was set at $0.013 per $1,000 received for transmission by a licensee in calendar year 2022, a decrease of $0.001 from last year’s rate. The assessment rate for issuers of payment instruments and stored value was set at $0.63 per $1,000 of total payment instruments and stored value sold by a licensee. The rate has not increased since 2012.

For questions about the calculation of an assessment, please refer to “How to Calculate Your Assessment” or contact Patrick Carroll at (415) 263-8559 or patrick.carroll@dfpi.ca.gov. Questions regarding assessment payment processing should be directed to the Accounts Receivable Unit at AccountingAR@dfpi.ca.gov.

IT System Survey for Banks, CUs

The DFPI is preparing to send out its biennial IT survey to all banks, including Foreign Banking Organizations, Credit Unions, and Trust Companies. The survey will be emailed on July 27, 2023, to each institution’s designated email address in accordance with Financial Code section 331.5. Please take a moment to ensure that an appropriate email address is on file, and that the mailbox is monitored regularly.

The email will contain a secure link to your individual institutions survey. The electronic 2021 IT Systems Survey is designed to help the DFPI assess the level of each licensee’s IT risk, allocate resources, and prepare for examinations.

Licensees are required to submit the survey pursuant to Financial Code section 455. Responses are kept confidential and used only in the examination process.

The survey will be sent out on July 27, 2023, and will be due no later than August 30, 2023. If you have questions, please contact:

For Banks, Trust Companies, Foreign Banks, and Foreign Branches:

Financial Institutions Manager Matthew Fujikawa at matthew.fujikawa@dfpi.ca.gov or Senior Financial Institutions Examiner Anthony Campbell at anthony.campbell@dfpi.ca.gov.

SDGs, Targets, and Indicators Identified in the Article

1. SDG 8: Decent Work and Economic Growth

   • Target 8.10: Strengthen the capacity of domestic financial institutions to encourage and expand access to banking, insurance, and financial services for all.
   • Indicator 8.10.2: Proportion of adults (15 years and older) with an account at a bank or other financial institution.

2. SDG 9: Industry, Innovation, and Infrastructure

   • Target 9.3: Increase the access of small-scale industrial and other enterprises to financial services, including affordable credit, and their integration into value chains and markets.
   • Indicator 9.3.1: Proportion of small-scale industries with a loan or line of credit.

Table: SDGs, Targets, and Indicators

Analysis and Explanation

1. SDG 8: Decent Work and Economic Growth is addressed in the article through the discussion of assessment rates for financial institutions. The article mentions the invoices for the annual assessment that were emailed to credit unions, money transmitters, commercial banks, industrial banks, and trust companies. This highlights the importance of strengthening the capacity of domestic financial institutions to expand access to financial services.

2. Target 8.10: Strengthen the capacity of domestic financial institutions to encourage and expand access to banking, insurance, and financial services for all can be identified based on the article’s content. The article discusses the annual assessment rates for different types of financial institutions, emphasizing the need to support their capacity to provide financial services.

3. Indicator 8.10.2: Proportion of adults (15 years and older) with an account at a bank or other financial institution can be used to measure progress towards the identified target. The article mentions the invoices for the annual assessment being emailed to various financial institutions, indicating their existence and operation.

4. SDG 9: Industry, Innovation, and Infrastructure is also relevant to the issues discussed in the article. The article mentions the access of small-scale industrial and other enterprises to financial services, specifically affordable credit. This aligns with the target of increasing their access to financial services and integrating them into value chains and markets.

5. Target 9.3: Increase the access of small-scale industrial and other enterprises to financial services, including affordable credit, and their integration into value chains and markets can be identified based on the article’s content. The article discusses the assessment rates for different types of financial institutions, including credit unions and money transmitters, highlighting the importance of providing financial services to small-scale enterprises.

6. Indicator 9.3.1: Proportion of small-scale industries with a loan or line of credit can be used to measure progress towards the identified target. The article mentions the assessment rates for different types of financial institutions, indicating their role in providing loans or lines of credit to small-scale industries.

Overall, the article highlights the importance of strengthening domestic financial institutions and increasing access to financial services for both individuals and small-scale enterprises. This aligns with the SDGs of Decent Work and Economic Growth (SDG 8) and Industry, Innovation, and Infrastructure (SDG 9), as well as their respective targets and indicators.

Behold! This splendid article springs forth from the wellspring of knowledge, shaped by a wondrous proprietary AI technology that delved into a vast ocean of data, illuminating the path towards the Sustainable Development Goals. Remember that all rights are reserved by SDG Investors LLC, empowering us to champion progress together.

Source: dfpi.ca.gov

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