,,ii #aaf? ,,congress #a/ ,session ,s4 #aeie ,,9 ,,! ,,s5ate ,,( ,,! ,,unit$ ,,/ates ,may #bb1 #bjai,mr4 ,book] 7= himself & ,mr4 ,br[n7 introduc$ ! foll[+ bill2 :i* 0 read twice & ref]r$ to ! ,committee on ,bank+1 ,h\s+1 & ,urban ,affairs ,a ,,bill ,to am5d ! ,tru? 9 ,l5d+ ,act to limit ov]draft fees & e/abli% fair & transp>5t practices relat$ to ! m>ket+ & provision ( ov]draft cov]age programs at depository in/itutions1 & = o!r purposes4 #a4 ,%ort title ,?is ,act may be cit$ z ! ,/op ,ov]draft ,pr(ite]+ ,act ( #bjai4 #b4 ,f9d+s & purpose 7a7 ,f9d+s ,congress f9ds ! foll[+3 7#a7 ,ov]draft cov]age is a =m ( %ort-t]m cr$it t depository in/itutions m>ket = consum] transaction acc\nts4 ,hi/orically1 depository in/itutions cov]$ ov]drafts = a fee on an ad hoc basis4 7#b7 ,) ! gr[? 9 specially design$ s(tw>e programs & 9 consum] use ( debit c>ds1 ov]draft cov]age = a fee has become m preval5t4 7#c7 ,_m depository in/itutions m>ket a range ( ov]draft options b aggressively enc\rage consum]s to cons5t to ! mo/ exp5sive option1 :]e a high flat fee is collect$ = e individual ov]draft transaction4 7#d7 ,_m depository in/itutions collect a high flat fee1 includ+ = small doll> transactions1 ea* "t ! in/itution cov]s an ov]draft1 impose multiple ov]draft cov]age fees )9 a s+le day1 & *>ge additional fees = ea* day dur+ :i* ! acc\nt rema9s ov]drawn4 7#e7 ,su* abusive practices 9 connection ) ov]draft cov]age fees h depriv$ consum]s ( mean+ful options & plac$ significant f9ancial burd5s on l[- & mod]ate-income consum]s4 7b7 ,purpose ,x is ! purpose ( ?is ,act to protect consum]s by limit+ abusive ov]draft cov]age fees & practices & by provid+ mean+ful disclosures & consum] *oice 9 connection ) ov]draft cov]age fees4 #c4 ,def9itions ,9 ?is ,act3 7#a7 ,,cfpb ,! t]m ,,cfpb means ! ,bureau ( ,consum] ,f9ancial ,protection4 7#b7 ,depository in/itution2 ov]draft2 ov]draft cov]age fee2 transaction acc\nt2 nonsuffici5t fund fee ,! t]ms depository in/itution1 ov]draft1 ov]draft cov]age fee1 transaction acc\nt1 & nonsuffici5t fund fee h ! mean+s giv5 ! t]ms 9 #adj;,b7p7 ( ! ,tru? 9 ,l5d+ ,act1 z add$ by section #d ( ?is ,act4 #d4 ,fair m>ket+ & provision ( ov]draft cov]age programs 7a7 ,9 g5]al ,*apt] #b ( ! ,tru? 9 ,l5d+ ,act 7#ae ,u4,s4,c4 #afca et seq47 is am5d$ by add+ at ! end ! foll[+3 #adj;,b4 ,ov]draft cov]age program disclosures & consum] protection 7a7 ,prohibitions ,no depository in/itution may engage 9 acts or practices 9 connection ) ! m>ket+ ( or ! provision ( ov]draft cov]age t are design$ to evade ! provisions ( ?is section4 7b7 ,m>ket+ disclosures ,ea* depository in/itution t provides or (f]s to provide ov]draft cov]age ) respect to transaction acc\nts held at t depository in/itution %all cle>ly & conspicu\sly disclose 9 all m>ket+ mat]ials = su* ov]draft cov]age any ov]draft cov]age fees ) respect to su* ov]draft cov]age4 7c7 ,ov]draft cov]age fees 7#a7 ,9 g5]al ,except z provid$ 9 p>agraph 7#b71 no depository in/itution may *>ge an ov]draft cov]age fee = any transaction-- 7,a7 at an automat$ tell] ma*9e2 or 7,b7 involv+ a "o-"t debit c>d transaction4 7#b7 ,ov]draft fees p]mitt$ = *ecks & automatic recurr+ paym5ts ,a depository in/itution may *>ge an ov]draft cov]age fee = a *eck or an automatic recurr+ paym5t z "p ( an ov]draft cov]age program t incorporates ! requirem5ts id5tifi$ 9 subsections 7d7 ?r\gh 7l74 7d7 ,consum] cons5t opt-,9 ,a depository in/itution may *>ge ov]draft cov]age fees ) respect to ! use ( *ecks or automatic recurr+ paym5ts only if-- 7#a7 ! depository in/itution has wait$ at lea/ #c days aft] op5+ an acc\nt to (f] ! ov]draft cov]age program2 & 7#b7 ! consum] has cons5t$ 9 writ+1 9 electronic =m1 or 9 su* o!r =m z is p]mitt$ "u regulations ( ! ,bureau4 7e7 ,consum] disclosures ,ea* depository in/itution %all cle>ly disclose to ea* consum] cov]$ by an ov]draft protection program ( t depository in/itution-- 7#a7 t ! consum] may be *>g$ = n m ?an #a ov]draft cov]age fee 9 any s+le cal5d> mon? & n m ?an #f ov]draft cov]age fees 9 any s+le cal5d> ye>1 p] transaction acc\nt2 7#b7 in=mation ab\t any alt]native ov]draft products t are available 7su* z l9k$ acc\nts1 l9es ( cr$it1 & al]ts71 includ+ a cle> explanation ( h[ ! t]ms & fees = su* alt]native s]vices & products diff]2 & 7#c7 su* o!r in=mation z ! ,bureau may require1 by rule4 7f7 ,p]iodic /atem5ts ,ea* depository in/itution t (f]s an ov]draft cov]age program %all1 9 ea* p]iodic /atem5t = any transaction acc\nt t has an ov]draft cov]age program feature1 cle>ly disclose to ! consum] ! doll> am\nt ( all ov]draft cov]age fees & nonsuffici5t fund fees *>g$ to ! consum] = ! relevant p]iod & ye> to date4 7g7 ,exclusion f acc\nt balance in=mation ,no depository in/itution may include ! am\nt available "u ! ov]draft cov]age program ( a consum] z "p ( ! transaction acc\nt balance ( t consum] & ! transaction acc\nt balance %all be m prom95tly display$ ?an any am\nt available "u ! ov]draft cov]age program4 7h7 ,prompt notification ,ea* depository in/itution %all promptly notify consum]s1 ?r\gh a reasonable means select$ by ! consum]1 :5 ov]draft cov]age has be5 access$ ) respect to ! acc\nt ( ! consum]1 n lat] ?an on ! day on :i* su* access occurs1 includ+-- 7#a7 ! date ( ! transaction2 7#b7 ! type ( transaction2 7#c7 ! ov]draft am\nt2 7#d7 ! ov]draft cov]age fee2 7#e7 ! am\nt necess>y to return ! acc\nt to a positive balance2 & 7#f7 :e!r ! p>ticipation ( a consum] 9 an ov]draft cov]age program w be t]m9at$ if ! acc\nt is n return$ to a positive balance )9 a giv5 "t p]iod4 7i7 ,t]m9at$ or susp5d$ cov]age ,ea* depository in/itution %all provide prompt notice to ! consum]1 us+ a reasonable means select$ by ! consum]1 if ! in/itution t]m9ates or susp5ds access to an ov]draft cov]age program ) respect to an acc\nt ( ! consum]1 includ+ a cle> rationale = ! action4 7j7 ,ov]draft cov]age re/rictions & fee limits = *ecks & automatic recurr+ paym5ts 7#a7 ,frequ5cy ,a depository in/itution may *>ge n m ?an #a ov]draft cov]age fee 9 any s+le cal5d> mon?1 & n m ?an #f ov]draft cov]age fees 9 any s+le cal5d> ye>1 p] transaction acc\nt4 7#b7 ,reasonable & proportional ov]draft cov]age fees 7,a7 ,9 g5]al ,! am\nt ( any ov]draft cov]age fee %all be reasonable & proportional to ! co/ to ! f9ancial in/itution 9 provid+ ! ov]draft cov]age = t transaction1 includ+ ! co/ to ! f9ancial in/itution ( funds & o!r co/s directly associat$ ) ! transaction4 7,b7 ,safe h>bor rule au?oriz$ ,! ,bureau1 9 consultation ) ! ,bo>d ( ,gov]nors ( ! ,f$]al ,res]ve ,sy/em1 ! ,comptroll] ( ! ,curr5cy1 ! ,bo>d ( ,directors ( ! ,f$]al ,deposit ,insurance ,corporation1 & ! ,national ,cr$it ,union ,adm9i/ration ,bo>d1 may issue rules to provide an am\nt = any ov]draft cov]age fee t is presum$ to be reasonable & proportional to ! co/s to ! f9ancial in/itution 9 provid+ ! ov]draft cov]age = ! transaction4 7#c7 ,po/+ ord] ,ea* depository in/itution %all po/ transactions ) respect to transaction acc\nts 9 su* a mann] t m9imizes ov]draft cov]age fees & nonsuffici5t fund fees4 7k7 ,debit holds ,no depository in/itution may *>ge an ov]draft cov]age fee on any category ( transaction1 if ! ov]draft results solely f a debit hold am\nt plac$ on a transaction acc\nt t exce$s ! actual doll> am\nt ( ! transaction4 7l7 ,nondiscrim9ation = n opt+ ,9 ,9 implem5t+ ! requirem5ts ( ?is section1 ea* depository in/itution %all provide to consum]s :o h n cons5t$ to p>ticipate 9 an ov]draft cov]age program transaction acc\nts hav+ ! same t]ms1 conditions1 or o!r features z ^? t are provid$ to consum]s :o h cons5t$ to p>ticipate 9 su* ov]draft cov]age program1 except = features ( su* ov]draft cov]age4 7m7 ,nonsuffici5t fund fee limits ,no depository in/itution may *>ge any nonsuffici5t fund fee ) respect to-- 7#a7 any transaction at an automat$ tell] ma*9e2 or 7#b7 any debit c>d transaction4 7n7 ,reports to consum] report+ ag5cies 7#a7 ,9 g5]al ,no depository in/itution may report negative in=mation reg>d+ ! use ( ov]draft cov]age by a consum] to any consum] report+ ag5cy1 z def9$ 9 section #fjc ( ! ,fair ,cr$it ,report+ ,act 7#ae ,u4,s4,c4 #afha;a71 :5 ! am\nts ( ! ov]draft are repaid "u ! t]ms ( an ov]draft cov]age program4 7#b7 ,deletion ,a depository in/itution %all reque/ t ! consum] report+ ag5cy describ$ 9 p>agraph 7#a7 delete any previ\sly report$ negative in=mation1 includ+ closure ( an acc\nt due to unpaid ov]drafts1 if ! consum] repays ! ov]drafts or t5d]s paym5t = ! ov]drafts to ! depository in/itution or its successor4 7o7 ,rule ( con/ruction ,no provision ( ?is section may be con/ru$ z prohibit+ a depository in/itution f reta9+ ! discretion to pay1 )\t assess+ an ov]draft cov]age fee or *>ge1 an ov]draft incurr$ by a consum]4 7p7 ,def9itions relat+ to ov]draft cov]age ,= purposes ( ?is section3 7#a7 ,*eck ,! t]m *eck-- 7,a7 has ! mean+ giv5 ! t]m 9 section #c ( ! ,*eck ,cle>+ = ! #ba/ ,c5tury ,act 7#ab ,u4,s4,c4 #ejjb72 & 7,b7 does n include a travel]'s *eck4 7#b7 ,depository in/itution ,! t]m depository in/itution means any entity describ$ 9 clauses 7i7 ?r\gh 7vi7 ( section #ai7;b77#a77;,a7 ( ! ,f$]al ,res]ve ,act 7#ab ,u4,s4,c4 #dfa7;b77#a77;,a774 7#c7 ,nonsuffici5t fund fee ,! t]m nonsuffici5t fund fee means a fee or *>ge assess$ 9 connection ) an ov]draft = :i* a depository in/itution decl9es paym5t4 7#d7 ,ov]draft ,! t]m ov]draft means1 9 a )drawal by *eck or o!r debit f a consum] transaction acc\nt 9 :i* !re are insuffici5t or unavailable funds 9 ! acc\nt to cov] su* *eck or debit1 ! am\nt ( su* )drawal t exce$s ! available funds 9 ! acc\nt4 7#e7 ,ov]draft cov]age ,! t]m ov]draft cov]age means ! paym5t ( a *eck pres5t$ or o!r debit po/$ aga9/ a consum] transaction acc\nt by ! depository in/itution 9 :i* su* acc\nt is held1 ev5 ?\gh !re are insuffici5t or unavailable funds 9 ! acc\nt to cov] su* *ecks or o!r debits4 7#f7 ,ov]draft cov]age fee ,! t]m ov]draft cov]age fee-- 7,a7 means any fee or *>ge assess$ 9 connection ) ov]draft cov]age1 or 9 connection ) any negative acc\nt balance t results f ov]draft cov]age2 & 7,b7 does n include-- 7i7 a p]iodic rate 9 connection ) an ext5sion ( cr$it ?r\gh an ov]draft l9e ( cr$it program2 & 7ii7 a fee or *>ge impos$ 9 connection ) any transf] f an acc\nt l9k$ to ano!r transaction acc\nt4 7#g7 ,ov]draft cov]age program ,! t]m ov]draft cov]age program means a s]vice "u :i* a depository in/itution assesses an ov]draft cov]age fee = ov]draft cov]age4 7#h7 ,transaction acc\nt ,! t]m transaction acc\nt has ! mean+ giv5 ! t]m 9 section #ai7;b77#a7 ( ! ,f$]al ,res]ve ,act 7#ab ,u4,s4,c4 #dfa7;b77#a774 4 7b7 ,te*nical am5dm5t ,! table ( cont5ts = *apt] #b ( ! ,tru? 9 ,l5d+ ,act is am5d$ by ins]t+ aft] ! item relat+ to section #adj;,a ! foll[+3 #adj;,b4 ,ov]draft cov]age program disclosures & consum] protection4 4 #e4 ,regulatory au?ority ( ! ,,cfpb ,n lat] ?an #b ye>s aft] ! date ( ! enactm5t ( ?is ,act1 ! ,,cfpb %all issue su* f9al rules & publi% su* model =ms z necess>y to c>ry out section #adj;,b ( ! ,tru? 9 ,l5d+ ,act1 z add$ by section #d ( ?is ,act4 #f4 ,effective date 7a7 ,9 g5]al ,?is ,act & ! am5dm5ts made by ?is ,act %all take effect #a ye> aft] ! date ( ! enactm5t ( ?is ,act1 :e!r or n ! rules ( ! ,,cfpb "u ?is ,act or su* am5dm5ts are prescrib$ 9 f9al =m4 7b7 ,moratorium on fee increases ,dur+ ! #a-ye> p]iod beg9n+ on ! date ( ! enactm5t ( ?is ,act1 no depository in/itution may increase ! ov]draft cov]age fees or *>ges assess$ on transaction acc\nts = pay+ a transaction 7includ+ a *eck or o!r debit7 9 connection ) an ov]draft or = nonsuffici5t funds4