Web Analytics

CFPB Proposes New Regulation of the Prepaid Market


On November 13, 2014, the Consumer Financial Protection Bureau ("CFPB") released a proposed rule that would extend federal consumer protections to prepaid financial products. Among other things, the proposed rule obligates financial institutions to provide consumers with additional disclosures before prepaid cards are acquired, including disclosure of all fees associated with the prepaid account and more detail on how those fees are assessed. The CFPB believes the rule would "close the loopholes in this market and ensure prepaid customers are protected whether they are swiping a card, scanning their smartphone, or sending a payment."

See the proposed rule at: http://files.consumerfinance.gov/f/201411_cfpb_regulations_prepaid-nprm_proposed-rule.pdf

For more information, please contact Thomas McDonell at (312) 715-2713 / thomas.mcdonell@quarles.com, Stanley F. Orszula at (312) 715-5123 / stanley.orszula@quarles.com, or your local Quarles & Brady attorney

Follow Quarles

Subscribe Media Contact
Back to Main Content

We use cookies to provide you with the best user experience on our website and to analyze statistics related to our website. To understand more about how we use cookies, or for instructions to change your preference and browser settings, please see our Privacy Notice. Please note that if you choose to reject cookies, doing so may impair some of our website's functionality.