CFPB Issues Final Revisions to Foreign Remittance Transfer Rule
Responding to banks’ and other providers’ concerns, the CFPB had been developing rules on the more operationally challenging aspects of the Regulation E foreign remittance transfer rule. Specifically, the rule makes the disclosure of foreign taxes and fees charged by a recipient institution for receiving transfers optional. Providers must include, where applicable, a disclaimer that these fees and taxes may apply.
The rule also clarifies that, if funds are deposited into the wrong account because the sender provided an incorrect account or routing number, the provider must attempt to recover the funds but would not bear the cost of funds that cannot be recovered. The entirety of the money transfer rule will take effect on October 28, 2013. The final rule is available here: http://files.consumerfinance.gov/f/201304_cfpb_final-rule_remittance-transfers.pdf.