Removing Barriers Blog

DOL Officially Delays Fiduciary Rule for 18 Months
Posted November 27, 2017 by CUNA Advocacy

The Department of Labor officially announced that the Fiduciary rule will be delayed for 18 months. This means the applicability date will now be July 1, 2019.

CUNA on numerous occasions has urged the DOL to implement this delay. In its letter to DOL, CUNA noted that many in the credit union and financial services industries were relying on at least a 180-day delay for compliance. We urged the DOL to institute a 180-day delay to allow time for the credit union industry to understand any changes made to the rule, and any compliance and applicability complexities associated with the rule.

In its announcement, the DOL stated,

“The extension gives the Department the time necessary to consider public comments submitted pursuant to the Department’s July Request for Information, and the criteria set forth in the Presidential Memorandum of Feb. 3, 2017, including whether possible changes and alternatives to exemptions would be appropriate in light of the current comment record and potential input from, and action by the Securities and Exchange Commission, state insurance commissioners and other regulators. The President directed the Department to prepare an updated analysis of the likely impact of the Fiduciary Rule on access to retirement information and financial advice.”

We appreciate that the DOL considered our concerns and is giving credit unions more time to understand the many compliance complexities associated with this rule.