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    Is Your Institution in Compliance With the New Prepaid Accounts Rule?
    Is Your Institution in Compliance With the New Prepaid Accounts Rule?

    By: Carly Souther

    FREE iDownloadPrepaid Account Coverage Chart

    Last October, the Consumer Financial Protection Bureau (Bureau) issued a final rule for prepaid financial products. Adopting a Q&A format, this post will help you gain a better understanding of the scope and purpose of the Prepaid Rule. You'll learn the types of accounts that are defined as prepaid accounts under Regulation E (as well as the types of accounts that are not subject to Reg E).

    To ensure your Institution is in compliance with the Rule by the effective date, register for our upcoming webinar, "Prepaid Cards: What the NEW Rules Mean for You!"

    iLearn - 5 Facts in 1 Minute: The Military Lending Act Edition
    iLearn - 5 Facts in 1 Minute: The Military Lending Act Edition

    By: Carly Souther

    1. The Military Lending Act (MLA) applies to active-duty servicemembers

    2. Servicemember Right: 36% Interest Cap

    3. Servicemembers Civil Relief Act

    4. No Mandatory Military Allotments

    5. No Prepayment Penalty

    CFPB: How Much Do Your Accountholders Really Know About the Bureau?
    CFPB: How Much Do Your Accountholders Really Know About the Bureau?

    By: Kit Souther 

    The future of the Consumer Financial Protection Bureau (CFPB) is uncertain under the Trump Administration. Regardless of how tumultuous the relationship is between the Bureau and the banking industry, the CFPB has collected $12 billion in refunds for 27 million U.S. adults since it opened in 2011. Based on this fact alone, one could reasonably assume that a vast majority of your clients or members have a favourable opinion of the agency.

    Yet, one would be wrong. According to an article published on the 1st of March, an astonishing 81% of American adults do not know enough about the CFPB to have a formed an opinion about the Bureau and its practices. So, how much do your accountholders really know about the CFPB? Read the full post to find out more!

    Your Weekly Financial e-Update: Appeals Court to Reconsider CFPB Independence

     

    By: Carly Souther

     

    Carly Souther

     

    21 February 2017Op-Ed: "Trump Wants to Cut Red Tape? He Should Start with the CFPB." Jay Richards, PhD, asserts that "[i]f President Trump is looking for ways to make good on his pledge to slash counterproductive regulations, he should support the" recently introduced bill to abolish the Consumer Financial Protection Bureau (CFPB).  The bill, introduced by Senator Ted Cruz and Rep. John Ratcliffe (both Texas Republicans) on the 14th of February, would repeal Title...

    Your Weekly Financial e-Update: CFPB Expands UDAAP, GOP to Repeal Prepaid-Card Rule, & More!

    By: Carly Souther 

    Carly Souther

     

    CFPB Expands Scope of UDAAP 

    The Consumer Financial Protection Bureau (CFPB) ordered Mastercard and UniRush to pay $13 million for breakdowns related to prepaid-cards that resulted in tens of thousands of consumers without access to their money. The CFPB claims consumers were given inaccurate account information and were not provided with adequate customer service after the breakdowns. The order says the companies engaged in "unfair acts or practices" by failing to cond...

    Trump Bump & CFPB Dump?

    But what has Trump done that may affect your bank or credit union? The answer, much like the consequences of his other policy actions, is…unclear. Yet, one action of note is a memorandum that imposes a moratorium on new agency regulations. 

    Does the moratorium affect the CFPB?

    The answer to this query hinges on whether Trump considers the CFPB to be an independent bureau – as it was established under Dodd-Frank—in light of the D.C. Circuit's ruling that the Bureau should be stripped of its independence and placed under the direction of the President. If the ruling stands, then Trump will have the power to fire CEO Richard Cordray and, effectively, dismantle the agency.

    New Year, New You, Same Dodd-Frank

    Although there are a bevy of areas in need of change, Congress should focus on reforming existing laws that meet the following criteria: (1) a modification of the law will have an important, positive impact on the nation; and, (2) such amendment can be accomplished with relative ease. The Dodd-Frank financial law fulfills both requirements and should therefore be added to Congress's New Year's Resolutions.