Links in “Credit/Debit Cards”

The CFPB is launching a public review of how the credit card market is functioning and whether or not it's meeting the needs of consumers. The CFPB is particularly interested in understanding how credit card protection programs affect consumers; all public comments are welcome. [3/18/15]

The CFPB is releasing a study on how financial institutions handle debts that charged off or sold and how ability-to-repay standards are being applied to credit card applicants. Industry observers expect that the study is a precursor to a crack down in the credit card market. [3/18/15]

Touted as the next big thing when it was introduced six months ago, Apply Pay now has its fair share of detractors, including banks, who are complaining about its high fraud rates. But the banks may largely have themselves to blame. [3/17/15]

CFPB's field hearing on credit card arbitration agreements features panelists who favor that agreements as cheaper and faster than litigation, with consumers receiving a better outcome. Other panelists argued that consumers typically only get something small without a finding that the corporation violated consumer law or acted fraudulently. [3/16/15]

The Wall Street Journal reports that fraudsters are entering stolen credit and debit card numbers and making fraudulent transactions using Apple Pay at an alarming rate. Estimates are that 6% of Apple Pay transactions are fraudulent while only .01%  of typical debit and credit cards are fraudulent. [3/9/15]

Malware that infected point-of-sales systems at most, if not all, US locations and some international locations has resulted in a breach of the card data at Mandarin Oriental hotels. Industry sources state that the breach likely dates back to December, 2014. [3/6/15]

Today, 72% of credit unions offer free checking while only 38% of the largest banks offer a similar product, and that percentage is dropping. Five years ago 65% of banks offered free checking accounts.  Minimum balance requirements and overdraft fees imposed by credit unions are more favorable to consumers. [2/27/15]

The CFPB has issued a proposal to streamline processes for submitting credit card agreements to the CFPB on a quarterly basis. [2/25/15]

American Express has a provision in its contract with merchants against discrimination, but because it charges merchants a higher percentage of each sale, and retailers tend to pass along the higher costs onto all consumers, it's the lower-income shoppers who suffer most. A judge in New York decided to step in. [2/25/15]

When the Durbin Amendment set a cap on interchange fees for debit cards, most card issuers abandoned their rewards programs due to their high cost. To the delight of consumers, those programs have come roaring back, but with a new twist. Credit unions and other card issuers are shifting the cost for the rewards programs away from the financial institution to retailers and other third party reward program providers. [2/19/15]