Banking

ABA pans postal service check-cashing pilot program

A pilot program by the U.S. Postal Service to provide check cashing services is irregular with congressional intent and wrongly extends the meaning of “postal services,” the American Bankers Association stated in a letter to the Postal Regulatory Commission today. ABA highlighted that the USPS cannot provide the pilot program pursuant to the Postal Accountability and Enhancement Act, which reversed the postal service’s authority to provide “special non-postal or similar services.”

“As a threshold matter, any policy changes to the postal service’s mission, including any entrance into financial services, should follow express Congressional direction, not increasingly strained and unsupported interpretations of what is a ‘postal service,’” ABA stated. “We urge that the commission to take a more active role in regulating new product offerings by the postal service, including requiring the postal service to provide advance notice and seek approval before offering a new product.”

Gabriel

A news media journalist always on the go, I've been published in major publications including VICE, The Atlantic, and TIME.

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