Priority Open Recommendations: Board of Governors of the Federal Reserve System

What GAO Found

In April 2020, GAO identified eight priority recommendations for the Federal Reserve. Since then, the Federal Reserve has implemented five of those recommendations.

As of April 2021, the remaining open three priority recommendations for the Federal Reserve involve the following areas:

  • Collaborating with other financial regulators to communicate with banks that have third-party relationships with fintech lenders about using alternative data in underwriting.
  • Communicating uncertainties surrounding stress testing, including capital ratio estimates.
  • Communicating uncertainties surrounding stress testing, including tolerance levels for key risks, and the degree of uncertainty in projected estimates.

The Federal Reserve’s continued attention to these issues could improve its ability to more effectively oversee risks to consumers and the safety and soundness of the U.S. banking system.

Why GAO Did This Study

Priority open recommendations are GAO recommendations that warrant priority attention from heads of key departments or agencies because their implementation could save large amounts of money; improve congressional or executive branch decision-making on major issues; eliminate mismanagement, fraud, and abuse; or ensure that programs comply with laws and funds are legally spent, among other benefits. Since 2015 GAO has sent letters to selected agencies to highlight the importance of implementing such recommendations.

For more information, contact Daniel Garcia-Diaz at (202) 512-8678 or garciadiazd@gao.gov.

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    The Department of Justice announced today that it is requiring Intuit Inc. and Credit Karma Inc. (Credit Karma) to divest Credit Karma’s tax business, Credit Karma Tax, to Square Inc. in order for Intuit, the creator of TurboTax, to proceed with its $7.1 billion acquisition of Credit Karma.  The department said that without this divestiture, the proposed transaction would substantially lessen competition for digital do-it-yourself (DDIY) tax preparation products, which are software programs used by American taxpayers to prepare and file their federal and state returns.
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  • Department of Justice Announces More Than $341 Million in Grants to Combat America’s Addiction Crisis
    In Crime News
    The Department of [Read More…]
  • Department of Justice and Partner Departments and Agencies Conduct Coordinated Actions to Disrupt and Deter Iranian Malicious Cyber Activities Targeting the United States and the Broader International Community
    In Crime News
    Unsealing of [Read More…]
  • Turkmenistan Travel Advisory
    In Travel
    Do not travel to [Read More…]
  • Secretary Blinken’s Call with Armenian Prime Minister Pashinyan
    In Crime Control and Security News
    Office of the [Read More…]