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What is Regulation-E in cross border funds transfer?

Regulation E is a federal regulation that applies to electronic fund transfers (EFTs), which are financial transactions that involve the transfer of funds from one account to another using electronic means, such as a debit card or an electronic check.

In the context of cross-border fund transfers, Regulation E applies to EFTs that involve the transfer of funds from a bank account in the United States to a bank account in a foreign country, or vice versa. These types of EFTs are subject to the same rules and protections as domestic EFTs, and financial institutions must follow the same requirements for disclosing information to consumers, handling errors and unauthorized transactions, and resolving disputes with consumers.

However, cross-border EFTs may also be subject to additional regulations and requirements, depending on the countries involved and the specific nature of the transaction. For example, cross-border EFTs may be subject to foreign exchange controls, anti-money laundering regulations, or other rules and requirements that vary by country. Financial institutions may need to comply with these additional regulations when conducting cross-border EFTs, in addition to complying with Regulation E.

This page was last updated on January 3, 2023.