Fed Lifts Date For Electronic Delivery of Consumer Disclosure Notification
|August 3, 2001|
The Federal Reserve Board on Friday announced the lifting of the October 1, 2001 mandatory compliance date for interim rules governing the electronic delivery of certain consumer disclosures.
On March 29, 2001, the Board published interim final rules on electronic disclosures and invited public comment. The rules establish uniform standards for the electronic delivery of federally mandated disclosures under five consumer protection regulations: B (Equal Credit Opportunity), E (Electronic Fund Transfers), M (Consumer Leasing), Z (Truth in Lending), and DD (Truth in Savings).
Financial institutions, creditors, lessors, and others may deliver disclosures electronically if they obtain consumers' consent in accordance with the requirements of the Electronic Signatures in Global and National Commerce Act (the "E-Sign Act"), enacted in June 2000.
Some commenters indicated that there are operational issues raised by the requirements of the interim rules. They also noted that the October 1, 2001 deadline does not afford financial institutions and others covered by the Board's consumer disclosure rules adequate time for making the needed changes.
Based on the comments, the Board is considering adjustments to the rules to provide additional flexibility. The Board is, therefore, lifting the October 1, 2001 compliance date for the interim rules. Once permanent final rules are issued, the Board expects to afford institutions a reasonable period of time to comply with those rules.
Source: Federal Reserve Board