Passage of CUNA-backed ATM bill means relief for CUsWASHINGTON (12/12/12)--Tuesday's unanimous consent passage of a bill removing duplicative ATM disclosure requirements "represents a substantial realization of regulatory relief that will have an impact on every credit union that owns an ATM--while having no adverse effect on consumers," Credit Union National Association (CUNA) President/CEO Bill Cheney said. CUNA strongly backed the bill.
The ATM bill, H.R. 4367, came into being as the result of a CUNA/league-sponsored "Hike the Hill" event, in which a credit union CEO mentioned the issue to CUNA staff. CUNA and credit unions have noted that outside notices on ATMs were, in some cases, being intentionally removed or destroyed without the financial institution's knowledge. Perpetrators would then take pictures of the vandalized ATM, and allege the financial institution was not in compliance with disclosure rules.
The bill will revise Regulation E to only require ATM fee disclosures to be presented on an ATM's screen, easing the burdensome ATM fee disclosure regulations that have created legal and financial issues for many credit unions.
Working together, CUNA, leagues and credit unions drafted this legislation, plotted a strategy to get the bill through the legislative process, and went to work. "This teamwork among credit unions, leagues and CUNA made this significant piece of regulatory relief a reality," Cheney said.
The Tuesday vote ensures that credit unions will soon be relieved of a frustrating regulatory burden, Cheney noted. "With Tuesday's Senate action, the way is clear for credit union ATMs to no longer have to carry a physical disclosure notifying consumers of the potential imposition of fees for use of the machine," he said.
Another piece of regulatory legislation was also passed by the Senate last night: H.R. 4014, which will ensure that groups or individuals that supply information to the CFPB would not waive their right to privacy protections.
The types of privacy improvements contained in the CFPB-addressing portion of the bill have been endorsed by CFPB Director Richard Cordray.
The ATM and CFPB bills now need President Barack Obama's signature to become law.