New Prepaid Debit Card Rule
Here’s Whats New:
- Unauthorized charge or error coverage
- Disclosure of FDIC insurance
- Transparency of fees (outside the package of the prepaid debit card)
The Consumer Financial Protection Bureau (CFPB) has recently added measures to help protect prepaid debit card users from fraud, unauthorized charges. I have had companies that have charged my debit card even after i have cancelled my account with them. What can i do? Nothing. Well that changes with this new rule. If you notice an unauthorized charged or an error on your prepaid debit card you can be reimbursed as long as you report it within 2 days of discovering it.
The new rule also requires prepaid debit card companies to be more transparent about their fees (transaction fees, withdrawal fees, monthly fees etc) outside of their packages. This will help consumers compare prepaid debit cards while they are in stores to choose the card that is best for them. The new rule has went into effect April 1, 2019 and we are loving it! This is just another step to help the growing industry of prepaid debit card users. Basically prepaid debit cards now have pretty much the same privileges as bank debit cards.
To learn more about this rule and how it protects you, the consumer, please visit the official website for Consumer Financial Protection Bureau.
Consumer Financial Protection Bureau Final Rule