CFPB to Host Remittance Rule Webinar This Afternoon
The Consumer Financial Protection Bureau will broadcast a free 90-minute webinar Tuesday afternoon at 2:30 p.m. EDT today about new remittance regulations that take effect Feb. 7, 2013.
Credit unions can tune in to the webcast on the CFPB’s website, where staff will provide an overview of the remittance rule and answer compliance questions.
“The session should be useful for money transmitters, banks, credit unions and other companies that send money abroad for consumers, as well as other organizations that work with or represent consumers who send money abroad,” the CFPB said in a release.
Although the CFPB won’t take questions during the webinar, credit unions that still have compliance questions after the online event can email them to CFPB staff at CFPB RemittanceRule@CFPB.gov, the bureau said.
The CFPB also released a 30-page remittance compliance guide for small businesses, a PDF file that is available on the bureau’s website.
“This guide will make it easier to understand the new requirements. Although the guide is not a substitute for the rule, it highlights issues that businesses, in particular small businesses and those that work with them, should consider while implementing the new requirements,” the CFPB said in a release.
Remittance providers that originate more than 100 remittances each year must comply with the new rules, which include two disclosures: a prepayment disclosure that includes the amount the recipient will receive after figuring the final exchange rate, fees and taxes, and a second receipt when the payment is made, which confirms the prepayment amounts and includes additional information, like when the funds will arrive at their foreign destination.
The CFPB did list five countries that will be exempted from the rule – Aruba, Brazil, China, Ethiopia and Libya – because the laws of those countries do not allow the disclosure of exact amounts at the time the transfer is authorized.