Newsroom
Remittance rule kicks in, compliance resources online
CFPB's final international remittance rule is now in effect, and NAFCU and CFPB have provided some useful resources to help credit unions comply.
The final rule requires credit unions and other institutions providing international remittance services to provide consumers up-front information about the exchange rate, fees and taxes the sender will pay; information on the amount to be received on the other end and the consumer's right to cancel most transfers within 30 minutes, at no cost. Errors generally must be reported within 180 days.
Credit unions can find information and resources on the final rule on the NAFCU Compliance Blog; check the remittance category, which stores all posts on that topic. NAFCU's September Compliance Monitor also has a detailed description of the remittance rule.
NAFCU had concerns about the proposed rule, and CFPB took some of these into account in setting its final rule by scaling back disclosures of foreign taxes. However, the rule still imposes several costly requirements that NAFCU is concerned will encourage many credit unions to leave the market or sharply reduce their presence.
Earlier this year, findings of a NAFCU Economic & CU Monitor survey indicated that more than half of credit unions surveyed said they would exceed the 100-remittance transfer safe harbor for exemption from the rule's requirements.Also, about 27 percent, including one credit union that averages 25,000 remittances per year, said they would drop their remittance program as a result of the final rule.
CFPB offers some resources for credit unions:
- anupdated small entity compliance guide – a recap of the final rules;
- anupdated video/webinaron the final rule(s); and
- aconsolidated (unofficial) copy of the regulatory textand official commentary from the various final rules.
For consumers, CFPB launched a nationwide multimedia campaign to inform consumers who send money internationally about new protections that went into effect on Monday.
Share This
Related Resources
Add to Calendar 2024-05-03 14:00:00 2024-05-03 14:00:00 Plan Sponsor Attitudes Toward Retirement Plan Management and Fiduciary Outsourcing About the Webinar In January 2024, Pentegra conducted a survey of retirement plan sponsors and their perspectives on retirement plan management and fiduciary outsourcing. The survey measured how sponsors are using fiduciary outsourcing to help better manage their retirement plans. It also captured their perspectives on what outsourcing does to help them better position their plans and drive improved retirement plan outcomes. Key Takeaways: What is the full scope of your responsibilities as a plan sponsor? What is fiduciary outsourcing and how does it work? How does fiduciary outsourcing help reduce workloads and minimize risk? How can a credit union best position its plan to drive improved outcomes? Register Here Web NAFCU digital@nafcu.org America/New_York public
Plan Sponsor Attitudes Toward Retirement Plan Management and Fiduciary Outsourcing
preferred partner
Pentegra
Webinar
Add to Calendar 2024-05-03 09:00:00 2024-05-03 09:00:00 Blind Spots in the Boardroom Listen On: Key Takeaways: [04:19] For a board to change its practices first it needs to be committed to different outcomes. It takes about 30 times for a board to start to be in a new conversation before they start to get their brain rewired to embody the change [07:24] In merger conversations we lose sight of what is important for the member. We need to look at what the continuing organization will look like and what is the leadership the membership and continuing organization need and deserve. [12:39] An educated board and executive team are a sharper team. When you have sharper leaders in the organization good things come from that. [24:22] If we are not taking care of that relationship with the CEO then we are strategically hampered. With a good CEO evaluation, the board is higher performing, the CEO is more attentive to being high performing, and the relationship is high performing and more genitive. Web NAFCU digital@nafcu.org America/New_York public
Blind Spots in the Boardroom
preferred partner
DDJ Myers
Podcast
Ensuring Safety and Soundness with AI
Management, Consumer Lending, FinTech
preferred partner
Upstart
Blog Post
Turning Lemons into Lemonade: Capitalizing in a Post-Banking Crisis Era
Strategy
preferred partner
Allied Solutions
Blog Post
Get daily updates.
Subscribe to NAFCU today.