OCC Issues Supplemental Exam Procedures on Remittance Transfers

The OCC this week issued supplemental exam procedures on remittance transfers. The updated procedures address American Bankers Association-advocated changes to Regulation E—the implementing regulation for the Electronic Funds Transfer Act—that were finalized by the CFPB in 2020. (The OCC has Reg E supervisory jurisdiction for banks with assets of $10 billion or less.)

Among other things, the Reg E changes permanently allow depository institutions to estimate certain fees and exchange rates when making disclosures to their customers about the cost of remittance transfers. It also increases the threshold for identifying which banks are subject to the remittance rule’s requirements.

With the issuance of the procedures, the OCC also rescinded the “Electronic Fund Transfer Act” booklet of its Comptroller’s Handbook; the 2019 “Consumer Compliance: Revised Interagency Examination Procedures;” and the 2014 “Electronic Fund Transfer Act: Comptroller’s Handbook Booklet Revision and Rescission.”