On January 25, 2018 the Consumer Financial Protection Bureau (CFPB) announced final updates to its 2016 prepaid rule. The changes extend the effective date of the rule by one year to April 2019. The changes to Regulations E and Z: Adjust error resolution requirements; and Provide more flexibility concerning credit cards linked to digital wallets. Read more: https://mycomplianceresource.com/prepaid-rule-lives-to-fight-another-day/ https://mycomplianceresource.com/effective-date-of-prepaid-account-rule-delayed/ https://mycomplianceresource.com/prepaid-rule-takes-a-much-needed-pause/ https://mycomplianceresource.com/prepaid-accounts-just-got-kicked-up-to-the-consumer-protection-suite/ A copy of the 325 page final rule is available at: https://files.consumerfinance.gov/f/documents/cfpb_prepaid_final-rule_2018-amendments.pdf
Category: Regulation E
CFPB’s ANNOUNCEMENT ON OVERDRAFT PROTOTYPES AND THEIR AFFECT ON YOUR BANK
Very early Friday morning the CFPB sent another shot across the bow regarding overdraft accounts that likely are a forerunner to upcoming rules on automated overdrafts which will cover check and ACH transactions. The CFPB has been in testing mode for a few years now and as part of that testing has been obtaining customer feedback as to the clarity of a variety of overdraft disclosures. Director Cordray stated the bureau is not proposing any […]
PREPAID RULE LIVES TO FIGHT ANOTHER DAY
For those banks that fervently prayed the almost 1,700-page Prepaid Account rule would be banished by the Party of Lincoln – sorry but it survived the recent round of regulatory rollbacks. Courtesy of the law firm, Ballard Spahr, and its Consumer Finance Monitor (CFM) webpage and Politico, we have learned that the joint resolutions introduced in the Senate and House in February to kill the upcoming Prepaid Account regulation, died on the vine of apathy. […]
EFFECTIVE DATE OF PREPAID ACCOUNT RULE DELAYED
On April 20, 2017, the Consumer Financial Protection Bureau (CFPB) issued a final rule which delays the effective date of the Prepaid Accounts Rule under the Electronic Fund Transfer Act (Regulation E) and the Truth in Lending Act (Regulation Z) for six months, until April 1, 2018. The CFPB issued the Prepaid Account Rule on October 6, 2016 with an effective date of October 1, 2017. On March 16, 2017, the CFPB proposed delaying the […]
PREPAID ACCOUNTS JUST GOT KICKED UP TO THE CONSUMER PROTECTION SUITE
On October 3, 2016 the CFPB issued its final rule for general purpose prepaid accounts which will generally go into effect on October 1, 2017. This culminated a 4+ year wait since the CFPB announced its initial intention to regulate prepaid accounts and 2 years from its proposal. The CFPB’s initial 870 page ANPR has morphed into a 1,689-page final rule so it’s easy to determine that numerous products and requirements were added on that […]