Help your members with direct deposit of federal payments

TIP:  In yesterday’s Compliance Courier, The League informed you that President Trump signed an executive order calling on the federal government to phase out the use of paper checks and switch to electronic payments by Sept. 30, 2025. The change would apply to all sorts of federal payments and direct deposits, including tax refunds, Social Security, and various federal benefits. 

As the Courier pointed out, the administration has promised “A comprehensive public awareness campaign will be launched to inform Federal payment recipients of the shift to electronic options and offer guidance on setting up digital payments.”
 
In the meantime, we thought it would help to offer tips credit unions can use to help members who hear about this order and want to sign up for direct deposit sooner rather than later. So, in today’s Courier, we’ll explain how you can help members learn more about the benefits of direct deposit and even help them enroll. 

CFPB will not prioritize enforcement of Payday Lending Rule

NEWS:  The Consumer Financial Protection Bureau (CFPB) has announced that it will not prioritize enforcement or supervision actions under its payday lending rule. In its press release, the CFPB said that it is “ is further contemplating issuing a notice of proposed rulemaking to narrow the scope of the rule.”

The rule, which took effect March 30, requires covered financial institutions to:

• Obtain a new and specific automatic payment authorization for a covered loan after two consecutive automatic payment attempts have failed, and 
• Provide specific disclosures and notices in connection with a covered loan.

White House orders end of paper government checks

NEWS:  Last week, President Trump signed an executive order calling on the federal government to phase out the use of paper checks and switch to electronic payments by Sept. 30, 2025, with some limited exceptions – such as for people without access to banking services or for emergency payments.

InfoSight360 is now available

NEWS: As we’ve been telling you (see this Compliance Courier and this one), The League is offering free access to InfoSight360 for our member credit unions. Today, InfoSight360 has gone live, and you can now access it. Here’s how:

The system administrator(s) for each credit union will manage user access to InfoSight360. InfoSight360 staff will be there to help with support. 

All registered credit unions have a unique URL to access their InfoSight360 implementation. To find it, please visit https://www.InfoSight360.com. That link will take you to a page that looks like the image below, where you will find a drop-down menu. Pick your state, and then your credit union (if you have pre-registered) will show up in the dropdown for you to access.