WASHINGTON (1/22/13, UPDATED 4:00 p.m. ET)--The Consumer Financial Protection Bureau is delaying the effective date of its remittance rule that was set to go into effect Feb. 7.
A new effective date will be announced later this year, the bureau announced in a blog post.
The Credit Union National Association urged the CFPB in a recent comment letter to postpone the effective date of the remittance rule and to give credit unions as much time as possible to comply.
Under the CFPB's rule, remittance transfer providers would be required to provide prepayment and receipt disclosures to the consumer sender that include the exchange rate, fees and taxes associated with a transfer, and the amount of money that will be received on the other end of the transfer. Remittance transfer providers will also be required to investigate disputes and correct errors.
The CFPB has provided a safe harbor exemption from the rule for remittance providers that transact 100 or fewer remittances per year.
Look to tomorrow's News Now for more detail.