The Senate has passed a bill amending the Electronic Funds Transfer Act and revoking the placard fee disclosure requirement that has spurred lawsuits against independent ATM deployers and financial institutions.
The Senate adopted the House version of the legislation passed in July, which now moves to President Obama’s desk for his signature, according to a press release from the National ATM Council Inc.
The legislation clears the way for elimination of duplicate physical fee disclosures at ATMs, the council says.
Since 2005, ATM deployers have been required to disclose on the ATM’s video screen any ATM-based fees charged for use of the machine. This electronic notice shows consumers fees for each transaction, and it allows the user to opt-out and cancel the transaction following the disclosure.
“The legislation represents a substantial measure of regulatory relief for ATM owners in the United States, while having zero adverse effect on consumers,” Bruce Renard, the council’s executive director, said in the release.
Congress corrected a problem with the law, Renard said.
“The external fee sticker was no longer serving a valid consumer purpose and instead had become the basis for a cottage industry of litigation, he contended.
Delegations of independent ATM deployers and suppliers visited Washington this year to support the legislation, the release said.
“The NAC Political Committee, chaired by NAC Chairman Curt Selman, along with the entire NAC Board of Directors have led the charge all the way on this issue, and are to be thanked greatly for their exceptional efforts,” Renard said in the release.
The effects of the change in the law on pending lawsuits “should now sort itself out on a case by case basis,” he said.