Fed, CFPB Reopen Comments on 2011 Reg CC Proposal

The Federal Reserve and the Consumer Financial Protection Bureau today reopened the public comment period on the Fed’s 2011 proposal regarding funds availability under Regulation CC. The agencies simultaneously proposed a method for calculating the dollar amount adjustments required every five years under the Electronic Funds Availability Act and implemented a provision of S. 2155.

While the Fed has finalized regulations touching on parts of the proposal subject to its sole rulemaking authority, the 2011 proposal regarding funds availability under Reg CC, Subpart B, is now under joint authority of both the Fed and the CFPB. In light of their joint authority, and “important changes in markets, technology, or industry practice since the public submitted comments seven years ago,” the agencies sought additional public comment on the original 2011 proposal.

In addition to reopening comments, the proposal would set the calculation method every five years with the annual aggregate percentage increase in the CPI-W index, rounded to the nearest multiple of $25, along with dates for the adjustments. (For example, the minimum funds available for withdrawal under the proposal would be $225, not $200.) It also amended Reg CC to cover to American Samoa, the Northern Mariana Islands and Guam, as already enacted under the S. 2155 regulatory reform law. Comments on both the 2011 and 2018 proposals are due 60 days after the latter is published in the Federal Register. For more information, contact ABA’s Nessa Feddis.