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Congress Won't Try to Regulate 'Mail Disruption'.(Brief Article)

Mortgage Servicing News

| March 01, 2002 | Venetis, Kyriaki | COPYRIGHT 2002 SourceMedia, Inc. This material is published under license from the publisher through the Gale Group, Farmington Hills, Michigan.  All inquiries regarding rights should be directed to the Gale Group. (Hide copyright information)Copyright

Taking the financial services industry at its honor, the U.S. House Committee on Financial Services has opted not to pass legislation that would prohibit the charging of late fees in the event of future mail disruption by terrorist attacks.

Instead, the House committee has opted for creating voluntary guidelines to be to be initiated by the Postmaster General and the financial service industry. Industry groups including the Consumer Bankers Association, Arlington, Va., and the American Bankers Association, Washington, joined representatives from the House committee in making the announcement at a recent press conference.

Scott Duncan, the communications director for the House Committee, said, "This is essentially an industry solution and we were glad to be able to bring the parties together to have that solution agreed upon.

"Legislation is very stiff and rigid and it's difficult to enforce, especially when you are talking about something like the anthrax attacks on the mail system. There are a lot of variables, so if you can get an industry solution like we did, it's a pretty good solution." ...

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