OCC Notice Announcing Compliance Extension on Lending Limits Rule

The OCC announced that it intends to extend the temporary exception for the application of its lending limits rule (12 C.F.R. 32) to certain credit exposures arising from derivative and securities financing transactions from January 1, 2013 to April 1, 2013. Based on the comments received on the interim final rule, the OCC believes that the January 1 deadline would not provide sufficient time for institutions to develop and implement appropriate policies and procedures to comply with these provisions. The extension would appear in the final rule (expected before the end of the year).