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NAFCU's widely-read NAFCU Today is credit union leaders' go-to source for the latest on issues impacting the credit union industry. For those short on time, here's a roundup of this week's top need-to-know news, including a potential settlement in Wells Fargo and USAA's RDC lawsuits, an upcoming NCUA webinar related to income tax programs, insights from a new survey on late-payments, and more.

Wells Fargo, USAA settle RDC case

According to reports, Wells Fargo has reached a settlement in a pair of lawsuits bought by USAA related to remote deposit capture (RDC). USAA had previously filed two separate lawsuits against the bank at the US District Court for the Eastern District of Texas for infringing patents. Of note, juries in both cases found Wells Fargo liable to pay $300 million.

Both of the parties have asked the court to stay the case for 60 days so they can finalize the settlement.

NAFCU has been actively monitoring these lawsuits for potential implications for credit unions and will continue to provide any updates on changes in litigation risk. The association also has previous Compliance Blog posts further detailing the litigation issue. Access them here and here.

NCUA, IRS partner for earned income tax, volunteer income tax webinar

The NCUA, in conjunction with the Internal Revenue Service (IRS), is hosting a webinar Tuesday on the benefits of the Earned Income Tax Credit and Volunteer Income Tax Assistance (VITA) programs. Representatives from the NCUA's Office of Consumer Financial Protection, Board Member Rodney Hood and senior IRS officials are expected to participate in the webinar, beginning at 2:00 p.m. Eastern.

During the event, both agencies will share their financial literacy efforts, geared to low- and moderate-income families, and highlight the resources available to consumers, as well as information on credit union call report data, earned income tax credit resources, and stakeholder partnerships.

Register here. Participants are encouraged to submit questions in advance by emailing WebinarQuestions@ncua.gov with the subject line “Tax Time Resources for Credit Unions and Consumers.”

Survey: 47 million expect to miss a credit card due date this year

A new late-payment survey from WalletHub found 47 million Americans expect to miss a credit card due date in 2021, with high-income earners nearly two-times more likely than low-income earners to miss a payment due to forgetfulness.

Of note, the survey highlights that 2.5 times more people are worried about missing a credit card payment than an electricity payment this winter.

Additional insights from the survey include:

• 16 percent more Americans have tried to get a credit card late fee waived compared to last year;
• 60 percent of respondents said their credit card company has been helpful during the pandemic;
• nearly nine in 10 people who have tried to get a credit card late fee waived were successful; and
• 36 percent more Americans are worried about missing a mortgage payment in 2021 than last year.

FI regulators' rule on supervisory guidance publishes in Federal Register

The federal financial institution regulators' – including the NCUA and CFPB – joint rule finalizing a rule codifying the 2018 interagency statement that clarified the differences between regulations and supervisory guidance has been published in the Federal Register. The rule will take effect March 5.

In its previous comments on the rule, NAFCU called on the NCUA to pursue several improvements to exams and asked the bureau to refrain from issuing supervisory guidance that adds requirements "not explicitly stated in the regulations or law," and to commit to only issuing guidance as a reference tool going forward. For more on the rule, NAFCU members may access the association's Final Regulation alert.

Venmo launches credit card

Payment app company Venmo Tuesday announced that it is launching a Visa-powered credit card, which includes a personal QR code on the front and can be scanned for card activation, payments, and purchases. According to the company's blog post, the credit card can be used everywhere Visa is accepted and features cash back rewards program.

All Venmo users can now fill out an application for the card, which launched in beta mode for select customers in October.

NAFCU remains committed to ensuring a level playing field for credit unions and has published whitepapers on fintech and data privacy, seeking to empower credit unions with the tools to better serve their communities, while ensuring proper congressional and regulatory oversight.