The FTC has issued its report to Congress detailing the steps it has taken to implement new practices for debit card transactions mandated by the Dodd-Frank Act. The FTC’s report describes a multi-faceted approach to implementing rules intended to improve all aspects of the debit card market, ranging from consumer disclosures to the mechanics of payment card networks. The FTC sought input from retailers that process debit card payments, consumers who use these products, and law enforcement personnel tasked with combating fraud in the market for debit cards. Recognizing the popularity of debit cards within minority and immigrant communities, the FTC published guidelines for merchants in a host of languages, including Spanish, Korean, Vietnamese and Chinese. The FTC states that its process for implementing new debit card regulations under Dodd-Frank is ongoing, and will include additional work on the emerging market for mobile payment systems and review of payment networks for compliance with the provisions of the Dodd-Frank Act and the Federal Reserve rules governing offers of consumer credit linked to debit card payment networks.
Alert January 10, 2013