Most financial institutions have already embraced prepaid cards in one form or another. Indeed, fully 84% of the study’s
participants – which collectively represent almost half of all debit transactions in the U.S.– offer a prepaid card.
Separate and Unequal – Varying Consumer Protections
“There’s no federal law that covers prepaid debit cards. It’s really up to the program manager.” Which is another way of saying that it’s up to the company issuing the card what, if any, protections to provide its customers. Indeed, with prepaid debit cards, consumer protections for unauthorized use are voluntary and can be changed or rescinded by the issuer at any time, according to a Consumers Union report.
The Occupy Prepaid Card: The Occupy Money Cooperative is being launched
Nearly two years after the Occupy Wall Street movement grabbed the attention of the media, politicians and general public, the rag-tag collection of protesters is back in the news. This time, however, the loose coalition – whose ire was targeted at the financial and political institutions that cement advantages for a few while ignoring the… Continue reading The Occupy Prepaid Card: The Occupy Money Cooperative is being launched
The Good, The Bad And The Ugly – Card Purchase Disputes
Credit cards offer a lot of protection, debit cards a little and prepaid cards none at all. Indeed, with credit card purchases, you have the full force of the Fair Credit Billing Act on your side. Under the Electronic Fund Transfer Act, which covers debit card transactions, you have limited merchant dispute rights, except for unauthorized transactions. And there are no federal consumer protections for purchases made with prepaid debit cards.
The Crime Of Our Century – Prepaid Card Identity Theft
The current boom in identity theft was predictable, maybe even inevitable. It’s a natural result of
what we might call “identity inflation.
The Battle Over Swipe Fees
Banks and payment networks are working hard in state capitals around the country in an effort to prevent restaurant and clothing storeowners from charging their clients more to pay their tabs with credit cards than they do for debit card and cash transaction.