ABA Expresses Support for Amendment Clarifying Postal Banking Not Authorized

The American Bankers Association wrote to Senate Banking Committee Ranking Member Pat Toomey (R-Pa.) today to express support for the Postal Service Reform Act of 2022, a bill that would clarify that the postal service is not authorized to provide banking services.

The association wrote that allowing USPS to provide banking services “is beyond the postal service’s core competencies, and raises a number of obvious regulatory and consumer protection questions.” ABA also urged senators to join in opposition to any efforts that would authorize postal banking.

ABA also said that financial institutions are strongly supportive of the postal service and that physical mail remains an important communications channel for banks, adding that “our members are committed to identifying long-term solutions to ensure an efficient, self-sustaining, and affordable U.S. postal system.”