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There’s a Push to Ban Junk Fees. Does It Affect Credit Card Surcharging?

Stax

In 2024 alone, more than a dozen state legislatures introduced bills related to surcharging and consumer fees generally. Several new laws seek to ban “drip pricing” or “junk fees,” and their uncertain meaning has resulted in confusion among merchants and acquirers. The Minnesota law will go into effect on January 1, 2025.

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CFPB Proposes Interpretive Rule to Ensure Workers Know the Costs and Fees of Paycheck Advance Products

Fintech Finance

The Consumer Financial Protection Bureau (CFPB) has proposed an interpretive rule explaining that many paycheck advance products, sometimes marketed as “earned wage” products, are consumer loans subject to the Truth in Lending Act. When the paycheck advance product is no-fee and truly free to the employee, many requirements would not apply.

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Thoughts on 1033 and Open Banking

Innovative Payments Association

On October 31 , the Consumer Financial Protection Bureau published its proposed rule on open banking. The proposed rule would require banks, credit unions, and other financial services companies to share account and transaction data with consumers and authorized third parties. Comments were due by December 29, 2023.

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The shifting EWA regulatory framework and its impact on bank partnerships and instant payment adoption

Tearsheet

The ongoing tug-of-war in regulations has left some states at odds regarding the rules governing this still relatively new service in the US. Moreover, there are fears that individuals living paycheck-to-paycheck may now be pushed into incurring bank overdraft fees when confronted with unforeseen expenses.

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CFPB Finalizes Rule Limiting Credit Card Late Fees

Global Fintech & Digital Assets

The rule targets a statutory loophole that the CFPB asserts large credit card issuers exploited to exact excessive late fees from consumers. The Rule was initially proposed in February 2023 and was intended to go into effect in October 2023 (for more information on the proposal, see this Latham blog post ).

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