CFPB may temporarily suspend credit card agreement submissions
WASHINGTON (2/26/15)--Credit card issuers could see a reduced burden for one year under a Consumer Financial Protection Bureau (CFPB) proposal issued this week.
The proposal would temporarily suspend a requirement that each quarter certain credit card issuers send their agreements to the CFPB.
Credit card issuers' submissions that would otherwise be due to the bureau by April 30, July 31 and Oct. 31 of 2015, and Jan. 31, 2016, would be suspended. Issuers would resume submitting credit card agreements on a quarterly basis starting April 30, 2016.
The CFPB intends to develop an automated electronic submission system, meant to be easier than the current manual submission system.
The 2009 Credit Cards Accountability, Responsibility and Disclosure Act required credit card issuers to post consumer agreements on their websites, as well as submit them to the CFPB. The bureau maintains a public database on its website.
The CFPB is accepting comments on whether the one-year period should start as soon as a final rule is published in the Federal Register, or whether a later effective date is more appropriate. Comments are not being accepted on a potential new submission system.
Comments must be submitted by March 13.