Financial Exploitation Prevention Act of 2025
Introduced Mar 27, 2025 by Rep. Ann Wagner
The House passed it. The Senate has to pass it before it can reach the President.
This bill establishes procedures for delaying the redemption of certain securities if an investment company or agent believes that an older individual or an individual with certain impairments has been financially exploited.
Specifically, the bill allows for the delay of the redemption of a security issued by an open-end investment management company and serviced by a transfer agent if the company or agent reasonably believes the redemption involves the financial exploitation of an individual (1) age 65 or older, or (2) age 18 or older who is unable to protect his or her own interests due to a mental or physical impairment. (Open-end investment management companies offer securities in pooled investment vehicles such as mutual funds. Transfer agents facilitate certain transactions for corporations and investment companies, including dividend distribution and change of securities ownership.)
The company may initially delay the redemption for up to 15 days and, upon making a determination of exploitation, may delay the redemption an additional 10 days. A state regulator, appropriate administrative agency, or court may extend this period. In the event of delay, the company must hold the amounts related to the redemption in a demand deposit account. The bill also establishes notification requirements.
The bill requires the registered open-end investment company and transfer agent to notify the Securities and Exchange Commission (SEC) if they elect to comply with the procedures established under this bill.
Read the full summary on Congress.govSummary by the Congressional Research Service.
- Jul 13, 2026Received in the Senate and Read twice and referred to the Committee on Banking, Housing, and Urban Affairs.
- Jun 25, 2026Motion to reconsider laid on the table Agreed to without objection.
- Jun 25, 2026On motion to suspend the rules and pass the bill, as amended Agreed to by the Yeas and Nays: (2/3 required): 414 - 2 (Roll no. 227).
- Jun 25, 2026Passed/agreed to in House: On motion to suspend the rules and pass the bill, as amended Agreed to by the Yeas and Nays: (2/3 required): 414 - 2 (Roll no. 227).
- Jun 25, 2026Considered as unfinished business. (consideration: CR H4251-4252)
- Jun 24, 2026At the conclusion of debate, the chair put the question on the motion to suspend the rules. Mr. Hill (AR) objected to the vote on the grounds that a quorum was not present. Further proceedings on the motion were postponed. The point of no quorum was considered as withdrawn.
- Jun 24, 2026DEBATE - The House proceeded with forty minutes of debate on H.R. 2478.
- Jun 24, 2026Considered under suspension of the rules. (consideration: CR H4222-4226; text: CR H4222-4223)
- Jun 24, 2026Mr. Hill (AR) moved to suspend the rules and pass the bill, as amended.
- Nov 4, 2025Placed on the Union Calendar, Calendar No. 313.
- Nov 4, 2025Reported (Amended) by the Committee on Financial Services. H. Rept. 119-361.
- Sep 16, 2025Ordered to be Reported (Amended) by the Yeas and Nays: 50 - 0.
- Sep 16, 2025Committee Consideration and Mark-up Session Held
- Mar 27, 2025Referred to the House Committee on Financial Services.
- Mar 27, 2025Introduced in House