You may recall our previous blogs (5/18/11, 5/9/12 & 5/31/12) regarding the ATM signage requirements under Regulation E and the potential litigation threat to banks. We are happy to report the requirement to post a fee notice on the ATM machine was recently eliminated with the passage of H.R. 4367.
Please note only the “on the machine” requirement under§1005.16(c)(1) was eliminated. You must still provide a notice of the fee and the amount of the fee either on the screen or via a paper notice under §1005.16(c)(2).
Although the Regulation itself has not been revised, it seems unlikely that bank’s would be cited in this case. If nothing else, pull out this announcement from the White House to show your examiners. Thankfully, it appears there was little opposition to eliminating the “on the machine” requirement. It will be interesting to see what kind of impact, if any, this may have on litigation already in progress.
Happy New Year!