On Thursday, President Obama signed
H.R. 4367, the ATM Fee Disclosure bill, into law. It revises Reg E to require that ATM fee disclosures only need to be presented on an ATM's screen. The new law eliminates a duplicative provision that required a physical notice also be posted on the ATM machine, a requirement that has created legal and financial issues for some credit unions and other financial institutions.
Following the signing, CUNA President/CEO Bill Cheney thanked the president on behalf of credit unions nationwide for his part in relieving a frustrating regulatory burden.
"No longer will credit union ATMs be required under federal law to display a physical disclosure notifying consumers of the potential imposition of fees for use of the machine--which is already required to be displayed on the screen of the machines. The physical signs were often battered by the weather, defaced by vandals--or even removed by unscrupulous mischief-makers," said Cheney.
CUNA, state leagues and credit unions have noticed that outside notices on ATMs were, in some cases, being intentionally removed or destroyed without the financial institution's knowledge. The person responsible would take pictures of the vandalized ATM, and file suit against the financial institution alleging it was not in compliance with disclosure rules.