CFPB v. Choice Money Transfer, Inc.

Choice Money Transfer, Inc. allegedly engaged in practices that violated numerous provisions of the Electronic Fund Transfer Act (EFTA) and its implementing Regulation E, including Subpart B, known as the Remittance Transfer Rule. Choice Money allegedly failed to comply with a wide range of disclosure requirements set out in EFTA and the Remittance Transfer Rule. Choice Money allegedly failed to disclose accurately certain required information, including when funds would be available to recipients, exchange rates, and transfer fees. Its disclosures also allegedly failed to use proper terms, to adequately disclose other key terms, to clearly and conspicuously disclose the exchange rate, and to provide disclosures in both English and Spanish as required by the Remittance Transfer Rule. Choice Money also allegedly failed to refund fees after senders properly submitted error resolution requests; failed to obtain consumer consent prior to providing receipts in electronic form on its mobile application and website platforms; failed to develop and maintain required policies and procedures for error resolution and to retain evidence demonstrating that it complied with error resolution requirements; and included in its disclosures an improper waiver of consumer rights under EFTA. These violations also allegedly constituted violations of the Consumer Financial Protection Act of 2010.

Summary generated from official Consumer Financial Protection Bureau press release