"We are listening closely to feedback on our rules..."

“We are listening closely to feedback on our rules…”

The US Consumer Financial Protection Bureau (CFPB) has issued a request for comment on proposed changes to its final rule on prepaid accounts that would adjust requirements for resolving errors on unregistered accounts and provide greater flexibility for credit cards linked to digital wallets.

Paybefore (Banking Technology‘s sister publication) reports that the bureau first floated the amendments in April, along with the announcement that implementation of the prepaid rule would be pushed back by six months to 1 April 2018. The consumer protection watchdog also is seeking input on whether a further delay in implementation would be necessary and whether an express provision addressing early compliance is needed.

“We know that effective implementation helps our rules deliver their intended value to consumers,” says CFPB director Richard Cordray. “Today’s request for comment shows we are listening closely to feedback on our rules to decide whether certain adjustments will help to achieve that goal.”

Brian Tate, vice-president of government affairs for the Network Branded Prepaid Cards Association (NBPCA), says the prepaid industry association was “encouraged that the CFPB has listened to our members’ concerns,” in opening a new comment period and proposing amendments to the final rule.

“We look forward to continuing to engage the bureau and recommend that they continue to address substantive issues with the final rule as outlined in our recent comment letter,” Tate notes. “We remain hopeful that the CFPB will continue to consider additional changes in the final rule, including a more limited definition of prepaid account, revised disclosure requirements, as well as further adjusting the implementation timeline as needed to address changes that could be made through this comment period.”

Comments are due 45 days after the proposal is published in the Federal Register. Comments can be submitted via email to FederalRegisterComments@cfpb.gov. Include Docket No. CFPB-2017-0015 or RIN 3170-AA72 in the subject line of the email; electronically via http://www.regulations.gov; or by mail to Monica Jackson, Office of the Executive Secretary, Consumer Financial Protection Bureau, 1700 G Street, NW., Washington, DC 20552.