(b) REQUIREMENTS FOR POLICIES AND PROCEDURES.
In prescribing regulations under subsection (a), the Secretary and the Board of Governors of the Federal Reserve System shall-
(1) identify types of policies and procedures, including nonexclusive examples, which would be deemed, as applicable, to be reasonably designed to identify and block or otherwise prevent or prohibit the acceptance of the products or services with respect to each type of restricted transaction;
(2) to the extent practical, permit any participant in a payment system to choose among alternative means of identifying and blocking, or otherwise preventing or prohibiting the acceptance of the products or services of the payment system or participant in connection with, restricted transactions;
(3) exempt certain restricted transactions or designated payment systems from any requirement imposed under such regulations, if the Secretary and the Board jointly find that it is not reasonably practical to identify and block, or otherwise prevent or prohibit the acceptance of, such transactions
This is apparently where the Check situation is. Maybe not so in the more distant future. But I believe this type of transaction will not be in "The Designated Payment system", except as a request for Banks to make any reasonable effort. The 'Check' problem is what the Banks cried the loudest about. I mean they cried "FOUL!!!" . It is far too expensive for them to implement a screening system that they could be held responsible for under UIGEA.
This may also be where a U.S. Citizens right to hold an account in a Bank other than the U.S. would fall into this section of UIGEA.