ABA, Trade Groups Urge Fixes to CFPB Remittance Rule

As part of the Consumer Financial Protection Bureau’s ongoing feedback initiative, the American Bankers Association and its transaction banking subsidiary BAFT, joined by the Clearing House and the Consumer Bankers Association, urged the CFPB to make several much-needed rule changes to its remittance rule.

Specifically, the groups urged the CFPB to exclude transfers that are outside the commonly understood scope of remittances; preserve depository institutions’ ability to estimate fees and exchange rates, rather than providing third parties’ actual rates and fees; provide more flexibility and reducing redundancy in disclosures; and modify error resolution provisions.