NOTE: For transfers scheduled five or more business days prior to the transfer date, for which estimates may be provided, the requirements of § 1005.32(d) apply. (Unless otherwise specified, disclosure requirements apply to all transfer transactions, including those scheduled prior to the date of the transfer). 2. Location of the phone number. It is not necessary for the telephone number to be included in the text of the disclosure; For example, the institution may instead include a reference to a telephone number that is easily accessible to the consumer, e.B. The number is shown on your periodic statement. However, an institution must provide a specific telephone number and address on or with the disclosure report to report a lost or stolen access device or possible unauthorized transmission. NOTE: The declaration must include the name, telephone number(s) and website of the state agency, as well as the name, toll-free telephone number(s) and website of NCUA and CFPB. Note: For any transfer scheduled by the sender at least three working days before the date of the transfer, the sender`s declaration of right of withdrawal must state that the sender must request cancellation at least three working days before the next scheduled transfer. The declaration must also indicate that the application must allow the credit union to identify the sender`s contact information and the transfer to be cancelled.
NOTE: The credit union may meet the error correction requirements by investigating any oral or written notice from the member of an error that the credit union receives within 120 days of the allegedly erroneous transfer to the member`s account. NOTE: If any of the disclosures contain estimates, the credit union must send or issue an additional receipt by mail no later than one business day after the date of the transfer. If the transfer involves the transfer of funds from the sender`s account held by the credit union, this receipt may be provided on or with the next periodic statement or within 30 days of the date of the transfer if no periodic statement is submitted. (§ 1005.36(a)(1)(ii)) (opens in a new window) Note: A credit union is not required to meet the above notification requirements if it refuses to approve and pay for one-time debit card transactions if it believes sufficiently at the time of the authorization request that the member does not have sufficient funds to cover the transaction. However, it is still prohibited to charge a fee for the payment of an ATM or a single debit transaction (§ 1005.17 (opens in a new window) and Official interpretation § 1005.17(b)(1)(iv) (opens in a new window)). (6) Documentation. A summary of the consumer`s right to receipts and periodic returns, as provided for in § 1005.9 of this Part, and notices of pre-authorized transfers in accordance with § 1005.10 (a) and (d). NOTE: If the transfer is scheduled at least three working days before the date of the transfer, the shipper`s declaration of withdrawal rights must reflect the requirements of § 1005.36 (c) (opens in a new window). 1. Substantially similar. The error message must be substantially similar to the form template in Appendix A to Part 1005.
An institution may use different wording as long as the content of the notice remains the same, may remove non-applicable provisions (e.g. B the requirement for written confirmation of an oral notification) and replace the substantive requirements which ensure greater consumer protection than Regulation E. 2. Pre-authorized transfers. If the only EFTs in an account are pre-authorized transfers, liability may arise if the consumer reports unauthorized transfers that are reflected in periodic billing. In order to impose such liability on the consumer, the institution must have disclosed the potential liability, as well as the telephone number and address to report unauthorized transfers. 2. Fees also apply to non-EFTs.
A per-item fee for EFTs must be disclosed, even if the same fee is charged for non-electronic transfers. If a fee per item is charged only under certain conditions, para. B example if the transactions in the cycle exceed a certain number, these conditions must be disclosed. A breakdown of the different costs may be included in the declaration or in an accompanying document mentioned in the declaration. Note: Complete this section only if the credit union provides combined information as an alternative to prepayment and receipt details. NOTE: A credit union cannot rely on the CFPB list if it has information that the laws of any country on the list allow for accurate disclosures. (5) Fees. All fees charged by the financial institution for wire transfers or for the right to wire transfers. [1] The term “overdraft” means a service in which a credit union charges a fee or charge to a consumer`s account held by the credit union for the payment of a transaction (including a cheque or other item) if the consumer does not have sufficient or unavailable funds in the account (12 CFR 1005.17 (a)). An “overdraft service” does not include a service that transfers funds from another consumer`s account or line of credit. NOTE: If the amount of the fee is determined based on how often the member discovered the account, the amount of the overdraft, or other factors, the credit union must disclose the maximum fees that may be charged. (§ 1005.17(d)(2)) (opens in a new window) Perform transaction testing using the following verification procedures: (c) Adding electronic money transfer services.
If an electronic money transfer service is added to a consumer`s account and is subject to conditions other than those described in the original disclosures, disclosures are required for the new service. Transaction risk can arise if the credit union does not have adequate internal controls and suffers a loss as a result. Note: Unless renewed by the CFPB, this exemption will no longer apply after July 21, 2020. 3. Interchange Fees. Fees paid by the account managing institution to the operator of a shared ATM system or an interbank ATM system shall not be disclosed unless they are imposed on the consumer by the account managing institution. Fees for the use of an ATM debited directly from the consumer`s account by an institution other than the institution managing the account (p.B. fees based on fees included in the transfer amount) must not be disclosed. See § 1005.7(b)(11) for the general notification requirement with respect to fees that may be charged by ATM operators and by a network used to make the transfer.
In December 2011, the CFPB adapted Regulation E to 12 CFR Part 1005. In February 2012, the CFPB added Subdivision B (Remittance Requirements) to Regulation E to implement the Dodd-Frank Act`s safeguards against remittances. Note: Complete this section if the credit union uses one or more agents to perform an element of the remittance transactions. 3. Add new accounts. If a consumer opens a new account that authorizes EFTs with a financial institution and has already received information under Regulation E for another account with that institution, the institution is only required to disclose terms and conditions that differ from those set out above. 1. Early Disclosure. Disclosures made by a financial institution earlier than required by regulation (e.B. if the consumer opens a current account), it is not necessary to repeat whether the consumer subsequently enters into an agreement with a third party to initiate pre-authorized transfers to or from the consumer`s account, unless the conditions differ from those previously disclosed by the institution.
This interpretation also applies to all single LFS notifications from a consumer`s account that are triggered using information from the consumer`s cheque. If, on the other hand, there is an agreement on efT services to be provided by an account holding institution directly between the consumer and the account holding institution, the information must be carried out in the vicinity of the event to be disclosed. B for example when the consumer concludes a contract for a new service. In 2009, the Federal Reserve Board (Board) amended Regulation E to prohibit overdraft fees for ATM and single debit card transactions unless the consumer expressly accepts or consents to overdraft services. The Commission also amended Regulation E to limit the fees and expiry dates of gift cards and to require that the terms and conditions of gift cards be clearly stated. (7) Stop payment. A summary of the consumer`s right to stop payment for a pre-approved electronic money transfer and the procedure for issuing a cease order in accordance with § 1005.10(c). Reputational risks may arise if the credit union suffers losses or receives reduced confidence from its members due to non-compliance with Regulation E.
Based on the documents reviewed in Division I, you complete Division II to determine whether the credit union complies with Regulation E. 4 ° the types of transfers; Limitations. The type of electronic transfers the consumer can make and any restrictions on the frequency and dollar amount of transfers. It is not necessary to disclose details of restrictions when confidentiality is essential to maintain the security of the electronic money transfer system. NOTE: The credit union may also disclose the member`s right to withdraw consent. The response part of the sample Form A-9 can be adapted to the proposed methods for registration and may contain appropriate methods for identifying the account. B for example a barcode. (§ 1005.17(d)(6) (opens in a new tab) and notes 1005.17(d)-1 to -5) (opens in a new window) NOTE: The history of account movements must include the information in § 1005.9 (b). . . .
