President Signs Bill Rescinding External ATM Disclosure Requirement (Misc News: December 21, 2012)
President Barack Obama signed the ATM disclosure bill, putting an end to frivolous lawsuits regarding missing external signs on the machines.
H.R. 4367 revises Regulation E to require that ATM fee disclosures only need to be presented on an ATM’s screen. Previously, the law required an external disclosure on the machines. In some cases that notice had been damaged or removed. Pictures taken of the machines were taken as the basis for lawsuits, sometimes by people who may have removed the notices themselves.
“Although this issue was not our top legislative priority, it is an example of a credit union industry driven reg relief issue,” MCUL & Affiliates CEO David Adams said. “This will save credit unions time and money that will be better spent on member service now.”
Some credit unions had resorted to having employees regularly visit its ATMs to make sure the fee disclosures were still in place.
"This adjustment in the law brings regulatory relief to credit unions which own an ATM in that they are no longer required by federal law to maintain the signs on the outside of the machine,” CUNA President and CEO Bill Cheney said. “Importantly, however, it in no way diminishes consumers' awareness of the fees associated with using the machines. Overall, consumers and the financial institutions they own, credit unions, benefit."
The president also signed H.R. 4014, which ensures that groups or individuals who provide information to the CFPB would not waive their right to privacy protections. The privacy improvements were endorsed by CFPB Director Richard Cordray.