Ed's Blog

The Consumer Financial Protection Bureau (CFPB) wants to hear your views on general purpose reloadable prepaid cards. It's even promoting its inquiry on its home page where you can also get a lot of other good information. CFPB is determining how to improve consumer rights when we use prepaid cards. Business is booming but you have very few protections by law when you use these cards.

Some of the campus cards featured in U.S. PIRG Education Fund's new report, the Campus Debit Card Trap (featured in the New York Times and numerous other papers, including this Tuscaloosa News piece by Washington Post syndicated columnist Michelle Singletary) are prepaid cards, others are debit cards, and there is a difference.

Reloadable prepaid cards include a Visa or Mastercard logo, but aren't linked to a bank account, as ATM/debit cards are. Bank account-linked cards come with the protections of the Electronic Funds Transfer Act, prepaid cards do not (some protections may be promised by contract, but not law). While EFTA protection is not as good as the Truth In Lending Act protections that apply to credit cards, it certainly is better than no protections by law, which is what you get with prepaid cards. Fees for the cards, which are lightly regulated, are all over the map, so be careful.

On the other hand, you don't need to pass a credit check to buy prepaid cards, which can be used in many, but not all, places that a debit or credit card can be used. This FDIC chart explains the differences in rights between card types (the excellent chart notes that gift cards and payroll cards are hybrid prepaid cards, with some additional protections general purpose prepaid cards do not have). Our campus card report goes into a lot more detail.

The CFPB asks you to comment in its Advance Notice of Proposed Rulemaking on prepaid cards. For example, it points out that "Some prepaid cards offer credit features such as overdraft and line of credit." Yet, many consumers use prepaid cards because their previous bank accounts were overdrawn and they paid high overdraft fees or resorted to high-cost short-term payday loans. Should prepaid cards be a safe harbor from these risky fees?

Tell the CFPB what you think about prepaid cards. By the way, at the CFPB website, you can also file a complaint or just tell your story about any consumer financial product or transaction or ask any question about any consumer financial law or protection. You don't need to use the Internet. You can call the CFPB at (855) 411-CFPB (2372). The CFPB staff speak many of the world's languages. More ways for consumers or whistleblowers to contact CFPB are here.

Comments

fendi outlet the woman who will abrasion the watch.could become our admission to http://www.nopuffdaddy.com/index1.html the apple of appearance and fashion.As a amount of fact,these and added models of fabricated a audible abode for You are not alone.In fact,there are abounding of us who dream of thhttp://www.gp.gov.ua/userfiles/chanelbags.html

This article gives the light in which we can observe the reality...
http://driverresetter.blogspot.com/2014/01/download-pixma-mg7170-driver-...

This article gives the light in which we can observe the reality. this is very nice one and gives indepth information. thanks for this nice article
http://driverresetter.blogspot.com/2014/01/pixma-mg7170-all-in-one-photo...
This is exactly what I was looking for. Thanks for sharing this great article! That is very interesting Smile I love reading and I am always searching for informative information like this!
http://echokita.blogspot.com/2013/09/MembuatBlog.html
This is just the information I am finding everywhere.Me and my friend were arguing about an issue similar to this! Now I know that I was right.Thanks for the information you post.
http://echokita.blogspot.com/2013/09/cara-menggunakan-google-calendar-ga...

People and negotiators are so careful nowadays especially if it is a public content and matter. There is no surprise is that; a published material is so tightly concerned with the mortgage business party. Because if there are flaws in the settlement, that means public will make them pay.
http://rosie.besaba.com/alfamart-official-partner-merchandise-piala-duni...
http://maskodoq.blogspot.com/2013/07/CiptoJunaedy.html
http://maskodoq.blogspot.com/2014/03/unit-link-terbaik-di-indonesia.html
http://etnisjawa.blogspot.com/2013/08/apakah-cipto-junaedy-bohong.html
http://rosie.besaba.com/situs-online-terbaik-terpercaya/

I have recently started a blog, the info you provide on this site has helped me greatly. There is obviously a lot to know about this. I think he did some good things in features also. Keep working, great job! Thanks for a very interesting blog. What else can I get that kind of information written in such a perfect approach? I have a company that I'm simply now operating on, and I've been on the look out for such information.
http://www.seoedan.com/2014/04/abcbolacom-agen-judi-bola-terpercaya.html
http://www.seoedan.com/2014/03/itucasino.html
http://www.seoedan.com/2014/03/itubola.html
I have recently started a blog, the info you provide on this site has helped me greatly. There is obviously a lot to know about this. I think he did some good things in features also. Keep working, great job!
http://www.seoedan.com/2014/03/afatogelcom-bandar-terbesar-situs-togel.html
http://www.seoedan.com/2014/04/eyangtogelcom-togel-singapura-togel.html
http://lashoraslentas.blogspot.com/2014/03/itudominocom-judi-domino-agen...
http://www.seoedan.com/2014/04/globalbola.html

I have recently started a blog, the info you provide on this site has helped me greatly. There is obviously a lot to know about this. I think he did some good things in features also. Keep working, great job! Thanks for a very interesting blog. What else can I get that kind of information written in such a perfect approach? I have a company that I"m simply now operating on, and I"ve been on the look out for such information.
http://www.seoedan.com/2014/03/bisnis-online-dan-peluang-usaha-terbaik.html
http://goo.gl/6Du9vL
http://www.seoedan.com/2014/04/itudomino.html
http://goo.gl/5Rw9kG
http://goo.gl/NvDCfi
http://www.seoedan.com/2014/04/globalbola.html
http://goo.gl/Bv5HNP
http://www.seoedan.com/2014/04/ligadaun.html
http://goo.gl/rWpFgu
http://goo.gl/LTwuVQ
http://puanguerraagoraenoticia.blogspot.com/2014/03/abcbolacom-agen-judi...
http://lashoraslentas.blogspot.com/2014/04/ligadauncom-agen-taruhan-bola...
http://www.seoedan.com/2014/03/bisnis-online-dan-peluang-usaha-terbaik.html

I would love to stop by. But, I think it might have to wait until this summer. I did not know that Serlkay had ever expanded its size. I must say that a succesful family owned business in this day and age is a very refreshing sight! As well as this is a very refreshing site!
what does bubblegum casting do

speak many of the world's languages. More ways for consumers or whistleblowers to contact CFPB are http://ytlikes.com

Priority Action

Tell your elected officials: Please protect my right to know, and support GMO labeling.

Support Us

Your donation supports U.S. PIRG’s work to stand up for consumers on the issues that matter, especially when powerful interests are blocking progress.

Consumer Alerts

Join our network and stay up to date on our campaigns, get important consumer updates and take action on critical issues.