CFPB Rule Promotes Fraud?

Card issuers said the CFPB’s final prepaid rule will make it easier for scammers to commit fraud on unregistered cards since the banks would not have any information about the consumer, American Banker reported, in turn making it difficult to investigate. “’Companies are going to get calls from people saying someone is using their card, even though the card does not have their name on it and the institution does not know anything about the customer,’ said David Beam, a partner at Mayer Brown. ‘It’s difficult to follow error resolution procedures on someone you don’t know.’”

Leave a Reply

Fill in your details below or click an icon to log in: Logo

You are commenting using your account. Log Out /  Change )

Twitter picture

You are commenting using your Twitter account. Log Out /  Change )

Facebook photo

You are commenting using your Facebook account. Log Out /  Change )

Connecting to %s