The Consumer Financial Protection Bureau has issued a request for information seeking input on potential changes to its remittance rule, which established requirements for companies sending international money transfers on behalf of consumers.
ABA, its transaction banking subsidiary BAFT and other industry trade associations today urged the Consumer Financial Protection Bureau to continue permitting depository institutions to provide estimates of pricing information in remittance transfer disclosures where the exact amounts cannot reasonably be determined.
Imposing a 5 percent tax on cross-border remittances to fund border barriers — as envisioned in H.R. 85, the Fund and Complete the Border Wall Act — could have adverse consequences for law enforcement and consumers, a coalition of trade groups including the American Bankers Association said today.
The Consumer Financial Protection Bureau’s rule on remittance transfers has resulted in initial compliance costs for remittance transfer providers of $86-92 million and ongoing compliance costs of $19-102 million per year, according to the bureau’s five-year assessment of the rule.
As part of the Consumer Financial Protection Bureau’s ongoing feedback initiative, ABA 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.