H.R. 2478 · Where this bill is now
In the Senate
Passed the House Jun 25, 2026. Received Jul 13, 2026; no Senate vote yet
What this bill does
In plain words · AI-written from the official summaryPrevents rushed withdrawals from investment accounts
When someone at a mutual fund company thinks an older person or someone with certain disabilities may be having their money stolen or misused, they can pause a request to withdraw money from an investment account. They can hold it up for 15 days at first, then up to 10 more days if they believe exploitation is happening. During this time, the money stays in a safe account. The company has to tell the SEC if they use this protection, and the SEC has to study ways to stop this kind of financial abuse.
How it affects you
If you're 65 or older, or an adult with a mental or physical impairment, this could help protect your investments if someone tries to get at your money without permission. Investment companies and their transfer agents now have a tool to pause suspicious withdrawals and alert authorities. However, this mainly affects people who use mutual funds and similar pooled investment accounts.
Read the official summary (Introduced in House, Mar 27, 2025)
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.
Written by AI (Claude) using only the official summary by the Congressional Research Service, the Library of Congress’s nonpartisan research staff. It can miss nuance, so check the official summary and the bill text for details.
1st SessionH. R. 2478
AN ACT
Financial Exploitation Prevention Act of 2025
Sponsor: Rep. Ann Wagner (R-MO-2) · Introduced Mar 27, 2025 · Finance and Financial Sector · 4 versions of the text
Sources: Congress.gov actions and votes · bill text from GovInfo · latest official action Jul 13, 2026: “Received in the Senate and Read twice and referred to the Committee on Banking, Housing, and Urban Affairs.”
How Congress voted
Official roll callsHouse · On Motion to Suspend the Rules and Pass, as Amended · Jun 25, 2026
Motion to Suspend the Rules and Pass, as Amended Passed 414–2
| Party | Yes | No | Didn’t vote |
|---|---|---|---|
| Democrats | 207 | 0 | 5 |
| Independents | 1 | 0 | 0 |
| Republicans | 206 | 2 | 9 |
2 members voted against most of their party: 2 Republicans voted No.
Congress votes on whole bills and amendments, not on single sections.