CFPB Issues Prepaid Accounts Amendments
On January 25th the Consumer Financial Protection Bureau (CFPB) released updates to the 2016 prepaid accounts rule. The CFPB issued a proposal to amend the rule back in June of 2017. The new effective compliance date for the rule is April 1, 2019. The updates change the error resolution and limited liability requirements so that financial institutions are not required to resolve errors or limit liability on unverified prepaid accounts. The changes also make it easier to link digital wallets to traditional credit card accounts for full federal credit card protections.
CLA’s financial institution regulatory compliance team assists banks and credit unions nationwide in establishing regulatory compliance programs, conducting compliance testing, and training staff on regulations. Justin Robinson is a member of CLA’s regulatory compliance team and can be reached at justin.robinson@CLAconnect.com.
Comments are closed.