WASHINGTON (9/6/12)--The Credit Union National Association (CUNA) continues to seek changes to the Consumer Financial Protection Bureau's (CFPB) pending remittance transfer rule, and has asked credit unions for information on any remittance transfer services they may offer in a new survey.
Under the CFPB remittance rule, remittance transfer providers would be required to disclose the exchange rate, all fees associated with a transfer, and the amount of money that will be received on the other end. Remittance transfer providers will also be required to investigate disputes and correct errors. The bureau's new remittance disclosure rule will take effect Feb. 7.
The CFPB has provided a safe harbor exemption from the rule for remittance providers that transact 100 or fewer remittances per year. The agency has indicated at least 80% of credit unions that offer remittance services would be exempt, but CUNA remains very concerned about the safe harbor provisions and continues to encourage the CFPB to increase this safe harbor threshold.
In the survey, credit unions can answer about their own remittance practices, including whether or not they offer remittances and how many remittance transfer transactions, if any, they complete in a given month.
Information on the total yearly cost of remittance transfer programs, how much each remittance transfer made for each member costs and the amount of fees that are charged to members requesting remittance transfers is requested in the survey. And credit unions can detail how much their total annual remittance program costs could increase, and how much more they may be required to charge their remittance-requesting members, under the CFPB's rule.
Credit unions are also asked to provide basic information on their asset size and comment on how they would be impacted by the rule. Additionally, CUNA in the survey seeks credit unions that wish to participate in a working group of credit union remittance providers. That group will meet with CFPB Director Richard Cordray and his staff in the coming weeks.
"We urge credit unions to take a few moments and complete this survey," said Mary Dunn, CUNA deputy general counsel. "The feedback we receive from credit unions will bolster our ability to press the CFPB to make further improvements to the remittances rule," she added.
CUNA has asked that the survey be completed by close of business today.
For the full CUNA survey, use the resource link.