Posted June, 4 2013
FOR IMMEDIATE RELEASE
NACHA Launches 1073 Solutions Center
Center Provides Information, Tools and Resources to Drive Greater Understanding of Dodd Frank 1073 and Support Compliance Needs of Financial Institutions and Remittance Transfer Providers
HERNDON, Va., June 4, 2013 – NACHA — The Electronic Payments Association today announced the launch of its 1073 Solutions Center. The 1073 Solutions Center provides information, tools and resources to drive understanding of Section 1073 of the Dodd Frank Wall Street Reform and Consumer Protection Act (Dodd Frank 1073), the regulation for international remittances, and identifies available solutions to help financial institutions meet compliance and business needs.
“NACHA is pleased to launch the 1073 Solutions Center,” said Janet O. Estep, NACHA president and CEO. “With the recent issuance of the final Dodd Frank 1073 regulation, financial institutions and remittance transfer providers now have greater clarity around requirements of the new rule. It is our hope that the 1073 Solutions Center will help facilitate further understanding of the regulation, and support financial institutions and remittance transfer providers as they work to offer their customers valuable international money transfer services.”
Dodd Frank 1073 establishes a regulatory framework for governing international remittance transfers originated by U.S. consumers. The regulation seeks to provide protections to U.S. consumers by requiring that remittance transfer providers disclose certain fees and taxes, and foreign exchange rates, and providing consumers with error resolution and cancellation rights. On April 30, the Consumer Financial Protection Bureau (CFPB) issued a revised rule that modified the original rule published on February 7, 2012 and supplemented on August 20, 2012. The revised rule helps further facilitate industry compliance by making the requirement to disclose foreign taxes or fees imposed by a recipient institution optional, and removing the liability imposed on providers when funds are deposited into the wrong account because of sender error. The final rule takes effect October 28, 2013.
For more information about Dodd Frank 1073 and solutions to help with compliance, visit NACHA’s 1073 Solutions Center at, https://www.nacha.org/content/1073-solutions-center.