WASHINGTON – CUNA continues to press the Fed for relief from certain provisions of the CARD Act, which went into effect Aug. 20.
In a letter to the Fed, CUNA argues that the operational hurdles credit unions must overcome regarding the implementation of the 21-day rule for open-end plans “other than credit cards are extremely problematic and in some cases, virtually insurmountable, especially given the very abbreviated amount of time they have had to prepare for compliance.”
The trade group also is pressing the Fed for clarification on three issues, including the definition of the term “short period of time” when referring to how long credit unions have to make needed changes to be in compliance.
Although the Fed earlier rejected an appeal for changes in the provisions or their enforcement, CUNA said it continues to strongly “disagree” with the Fed’s view. The group is pressing its case in Congress to narrow the reach of the 21-day rule or extend the compliance date.
