The CFPB has issued a final rule to delay the effective date of the Prepaid Accounts Rule until April 1, 2018 due to concerns of being in compliance by October 1, 2017. This delay won’t impact the October 1, 2018 effective date for submitting prepaid account agreements to the CFPB, however.
The delay is also giving the CFPB some time to determine whether any changes should be made to the Rule. The CFPB is planning to release a separate proposal to specifically address at least two issues within the Rule:
- The linking of credit cards into digital wallets capable of storing funds; and,
- Error resolution and liability for prepaid accounts that cannot be or have not been registered.
We’ll keep you updated on where we go from here!
Diane joined Banker’s Compliance Consulting with over 10 years of compliance experience and over 15 years of experience within the financial industry. Diane is a Certified Regulatory Compliance Manager (CRCM) and has a Bachelor’s Degree in Sociology with a concentration in Criminal Justice. She is a graduate of the Schools of Banking Compliance School and has participated in various other training opportunities throughout her career. Diane understands firsthand the struggles banks face in building and maintaining successful compliance programs. Her experience and common sense approach to consumer compliance is a great asset to our clients.
Diane and her husband have two kids who keep them busy. She enjoys running and other sports and is a big Bugs Bunny fan! She’s a bit crazy in that she does enjoy reading some of these regulations and she’s a “crazy cat lady!” Her cat tales are hilarious!