WASHINGTON—The CFPB has issued a set of FAQs to provide clarification on the Bureau's Remittance Rule, which was recently amended to increase the safe harbor threshold from 100 transfers in the previous and current calendar year to 500 transfers.
The FAQs clarify whether failure to deliver remittance transfer funds to the designated recipient by the disclosed date – due to government closures in recipient or intermediary countries related to the coronavirus pandemic – is an error under the remittance rule, NAFCU explained.
Amid the coronavirus pandemic, the Bureau previously announced that it will suspend supervisory and enforcement action against certain remittance transfer providers under the temporary fee and exchange rate exception, which is set to expire July 21. The final rule provides the replacement framework that will be in place once the exception expires.
NAFCU noted it has continuously worked with the Bureau to obtain relief for credit unions under the rule.