H.R. 2478 Passed the House Finance and Financial Sector

Financial Exploitation Prevention Act of 2025

To amend the Investment Company Act of 1940 to postpone the date of payment or satisfaction upon redemption of certain securities in the case of the financial exploitation of specified adults, and for other purposes.

  1. Introduced
  2. Committee
  3. Passed House
  4. Passed Senate
  5. To President
  6. Became law
Sponsor Rep. Wagner, Ann [R-MO-2] Introduced March 27, 2025 Cosponsors 11 (7 R, 4 D) Latest action July 13, 2026

Summary

Financial Exploitation Prevention Act of 2025
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. 
Additionally, the SEC must make recommendations to address the financial exploitation of these adults.

Summary by the Congressional Research Service, Library of Congress.

Congress.gov

Roll-call votes

Actions

  1. Jul 13, 2026 Received in the Senate and Read twice and referred to the Committee on Banking, Housing, and Urban Affairs.
  2. Jun 25, 2026 Motion to reconsider laid on the table Agreed to without objection.
  3. Jun 25, 2026 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).
  4. Jun 25, 2026 Considered as unfinished business. (consideration: CR H4251-4252)
  5. Jun 24, 2026 At 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.
  6. Jun 24, 2026 DEBATE - The House proceeded with forty minutes of debate on H.R. 2478.
  7. Jun 24, 2026 Considered under suspension of the rules. (consideration: CR H4222-4226; text: CR H4222-4223)
  8. Jun 24, 2026 Mr. Hill (AR) moved to suspend the rules and pass the bill, as amended.
  9. Nov 4, 2025 Placed on the Union Calendar, Calendar No. 313.
  10. Nov 4, 2025 Reported (Amended) by the Committee on Financial Services. H. Rept. 119-361.
  11. Sep 16, 2025 Ordered to be Reported (Amended) by the Yeas and Nays: 50 - 0.
  12. Sep 16, 2025 Committee Consideration and Mark-up Session Held

Congressional and federal records come from official public sources: the House Clerk, the U.S. Senate, GovInfo and the Library of Congress (bill status), the Federal Register, and the congress-legislators project. They are copied on a schedule and may lag the official record by a few hours; the official sources govern. News and coverage counts are drawn from the 4Conservative index and reflect what the press published, not 4Conservative's views. Nothing here is an endorsement of any candidate, party or position. Terms of use.