Showing that this new regulatory agency really is different, the Consumer Financial Protection Bureau this week announced it is delaying the implementation of the new 1073 rules regarding remittance transactions and will be making some modifications to the requirements.
The rules as they currently stand place a large burden on institutions who offer remittances, which include a majority of financial institutions around the country. Despite the safe harbor of protecting institutions that transmit 100 such remittances or less each year, other rules have caused pushback in the industry. Those rules and requirements include extensive disclosures, rescind capabilities, dispute process, multi-language support, and consumer receipts that include fees pertaining to the recipient.
From a Reuters article:
The Consumer Financial Protection Bureau said it will issue a proposal next month to ease some of the fee and tax disclosure requirements and to ensure that banks are not liable when a sender provides the wrong account number for a money transfer.
And the new rules regulating such transfers, or remittances, will take effect sometime in the spring of 2013, rather than in February as initially planned, the bureau said in a statement on Tuesday.
Financial institutions should be encouraged the bureau appears prepared to not only listen to their concerns, but react as well.
Click here to read more from Reuters.