CFPB Announces Advance Notice of Proposed Rulemaking On General-Purpose Reloadable Prepaid Cards


The Consumer Financial Protection Bureau (“CFPB”) has released an advance notice of proposed rulemaking (“ANPR”) to collect information about prepaid cards, specifically general-purpose reloadable prepaid cards (“GPR cards”), including bank-issued GPR cards. The CFPB says it is interested in learning more about GPR cards, including the related costs, benefits, and potential risks to consumers. In particular, the CFPB plans to use the information gathered in connection with the ANPR to determine whether to extend the consumer protections of Regulation E to GPR cards. Comments are due July 23, 2012.

In the supplemental information accompanying the ANPR, the CFPB discusses the widespread use of GPR cards by consumers, but expresses concern that consumers may not be aware that GPR cards do not have protections commensurate with those of other products, such as bank-issued debit cards and credit cards.

Please see full alert below for more information.

LOADING PDF: If there are any problems, click here to download the file.

Written by:

Published In:

DISCLAIMER: Because of the generality of this update, the information provided herein may not be applicable in all situations and should not be acted upon without specific legal advice based on particular situations.

© Morrison & Foerster LLP | Attorney Advertising

Don't miss a thing! Build a custom news brief:

Read fresh new writing on compliance, cybersecurity, Dodd-Frank, whistleblowers, social media, hiring & firing, patent reform, the NLRB, Obamacare, the SEC…

…or whatever matters the most to you. Follow authors, firms, and topics on JD Supra.

Create your news brief now - it's free and easy »

All the intelligence you need, in one easy email:

Great! Your first step to building an email digest of JD Supra authors and topics. Log in with LinkedIn so we can start sending your digest...

Sign up for your custom alerts now, using LinkedIn ›

* With LinkedIn, you don't need to create a separate login to manage your free JD Supra account, and we can make suggestions based on your needs and interests. We will not post anything on LinkedIn in your name.