PaymentsJournal
No Result
View All Result
SIGN UP
  • Commercial
  • Credit
  • Debit
  • Digital Assets & Crypto
  • Digital Banking
  • Emerging Payments
  • Fraud & Security
  • Merchant
  • Prepaid
PaymentsJournal
  • Commercial
  • Credit
  • Debit
  • Digital Assets & Crypto
  • Digital Banking
  • Emerging Payments
  • Fraud & Security
  • Merchant
  • Prepaid
No Result
View All Result
PaymentsJournal
No Result
View All Result

CFPB Reopens the Prepaid Rules; The Saga Continues

By Ben Jackson
June 19, 2017
in Analysts Coverage
0
0
SHARES
0
VIEWS
Share on FacebookShare on TwitterShare on LinkedIn
CFPB prepaid

Prepaid cards are one of the most popular payment methods available today. They offer convenience, affordability, and flexibility, allowing users to make transactions without fear of overspending. To ensure that customers benefit from these advantages, regulations have been established to protect consumers. In 2016, the Consumer Financial Protection Bureau (CFPB) issued the final Prepaid Rule that it had begun working on in 2012. This seemed like it would be the end of the prepaid regulatory discussion for the time being. Then the elections happened and it looked like the final rule might get thrown out, but that didn’t happen. All the while, the prepaid industry was working on trying to fix some problems in the more than 1600-page rule. While it means the rule is anything but final, there is hope that some problems might get fixed now that CFPB has opened another comment period on the rule. The Hill has summarized some of the proposed changes.

The Consumer Financial Protection Bureau (CFPB) is asking the public to comment on some proposed changes to its rules for prepaid cards.

Under the proposed changes, a consumer would have to register their prepaid card in order to dispute unauthorized charges and take advantage of the full slate of consumer protections provided by the rules.

The bureau is also trying to make it easier for consumers to link traditional credit cards to digital wallets that can hold funds. Under the CFPB’s proposal, neither the linked traditional credit card nor the digital wallet would be subject to requirements for “hybrid prepaid-credit cards” — those that allow consumers to borrow funds — such as the required 30-day waiting period to link the account to the wallet.

It is likely that the reopening of the comment period will bring up additional things that the industry and consumer advocates would like to see changed. However, the new comment period is a testament to the industry’s persistence in lobbying and the CFPB’s willingness to consider ways to improve the prepaid rules they issue.

Overview by Ben Jackson, Director, Prepaid Advisory Service at Mercator Advisory Group

Read the full story here

0
SHARES
0
VIEWS
Share on FacebookShare on TwitterShare on LinkedIn
Tags: CFPBCompliance and RegulationPrepaid

    Get the Latest News and Insights Delivered Daily

    Subscribe to the PaymentsJournal Newsletter for exclusive insight and data from Javelin Strategy & Research analysts and industry professionals.

    Must Reads

    embedded lending

    Embedded Lending as a Growth Strategy for ISVs—How to Maximize Revenue Potential

    June 18, 2025
    merchant ai

    Merchants Find More Use Cases for AI Amid Risks

    June 17, 2025
    prepaid payroll

    Taking the Check Out of Paycheck: The Role of Prepaid in Payroll

    June 16, 2025
    Banking-as-a-service BaaS

    Remodeling Main Street: How Community Banks Can Leverage the Banking-as-a-Service Paradigm

    June 12, 2025
    How Employee Performance Enhances the Customer Experience

    Three Strategies to Maximize Loyalty in the AI-Driven World 

    June 11, 2025
    PFM tools

    How FIs Are Cutting Through Subscription Clutter with PFM Tools

    June 10, 2025
    child identity theft

    Stranger Danger: Protecting Your Children from Identity Theft

    June 9, 2025
    agentic commerce

    The Agentic Advent: How the Next Iteration of AI is Shaping Commerce

    June 6, 2025

    Linkedin-in X-twitter
    • Commercial
    • Credit
    • Debit
    • Digital Assets & Crypto
    • Digital Banking
    • Commercial
    • Credit
    • Debit
    • Digital Assets & Crypto
    • Digital Banking
    • Emerging Payments
    • Fraud & Security
    • Merchant
    • Prepaid
    • Emerging Payments
    • Fraud & Security
    • Merchant
    • Prepaid
    • About Us
    • Advertise With Us
    • Sign Up for Our Newsletter
    • About Us
    • Advertise With Us
    • Sign Up for Our Newsletter

    ©2024 PaymentsJournal.com |  Terms of Use | Privacy Policy

    • Commercial Payments
    • Credit
    • Debit
    • Digital Assets & Crypto
    • Emerging Payments
    • Fraud & Security
    • Merchant
    • Prepaid
    No Result
    View All Result