CFPB Will Delay and Tweak Remittance Rule 

The CFPB announced its plan to make "certain limited adjustments" to its recent final rule on international money transfers – also known as remittances. 

The list of expected changes reflects all but one adjustment that CUNA and credit union participants had recommended during several meetings with the bureau, according to CUNA News Now

In addition to the delay, there are three areas of proposed changes to the final rule:

The recommendation by CUNA and MCUL not yet addressed is that of an increased safe harbor exemption.  Both groups recommended that the CFPB provide a higher number of transactions as a safe harbor threshold from the final rule, exempting institutions from the definition of an covered entity that provides remittance transfers in the ordinary course of business. 

The agency said Tuesday that it expects to extend the effective date of the remittance rule until 90 days after the adjustments are made final.

"We recognize that remittance providers may need time to make sure they're in compliance with the rule. We're expecting the new implementation date to be during spring 2013, and will keep you updated," the CFPB said in a note on its website.

Submissions to Monitor may be emailed. Bryan Laviolette is the editor of Monitor. Contact him by email or call (800) 262-6285, ext. 233. The newsletter of the Michigan Credit Union League is published Monday mornings or Tuesday mornings when Monday is a holiday. There is no Monitor the week after Christmas and the week after the Annual Convention and Exposition. The MCUL reserves the right to edit submissions for clarity and space.
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