AFR Statement: The CFPB Expands Protections on Prepaid Cards

We applaud the Consumer Financial Protection Bureau’s rule expanding consumer protections for prepaid cards. Americans will be better off because of the enhanced rights in case of loss, theft, and unauthorized charges, and the simple, clear fee disclosures the Bureau has put in place.  The rule also takes important steps towards making sure prepaid cards remain prepaid, rather than a vehicle for risky high cost credit products, although there are still gaps to close here. the Bureau’s continued progress on making financial markets fairer and safer confirms once again how important it is to have an independent and effective regulator with a consumer protection mission.