Law and regulation

WASHINGTON – A major technology group comprised of some of the biggest corporations shifted its position on the proposed delay in debit rules a week after expressing support for the delay.

The fight over the interchange amendment heated up on Wednesday when Sen. Dick Durbin, D-Ill., sent JPMorgan Chase & Co. Chief Executive Jamie Dimon an open letter defending the provision.

WASHINGTON – Sen. Jon Tester opened debate on delaying the controversial interchange rule this morning insisting the proposed cuts in debit fees will cause unintended harm to rural banks and credit unions, even as the Senator and his allies desperately search for a bill to attach their delay measure to.

The Reserve Bank of India is clamping down on foreign airlines operating in India by mandating they stop using overseas banks to settle card transactions used to buy airline tickets in India.

WASHINGTON – Sen. Richard Durbin, author of the controversial rule to set caps on debit fees, yesterday denounced assertions by banks and credit unions that having card giants MasterCard and Visa set prices for debit is preferable to having the Federal Reserve set price limits on the increasingly popular form of payment.

WASHINGTON – Sen. Richard Durbin, author of the controversial rule to set caps on debit fees, yesterday denounced assertions by banks and credit unions that having card giants MasterCard and Visa set prices for debit is preferable to having the Federal Reserve set price limits on the increasingly popular form of payment.

A consortium of technology companies with banking-industry connections is urging lawmakers to delay implementation of the Federal Reserve Board’s proposed new debit-interchange rules, warning they could heighten risk by forcing banks to reduce their investments in security and fraud-protection services.

Consumer protections under the Credit Card Accountability, Responsibility, and Disclosure Act of 2009 should be applied to small-business credit cards, according to a lead-generation website that tracks card products.

The state of Washington's Department of Financial Institutions (DFI) has ordered "Home Credit Law Center" - a California-based mortgage loan modification company - to stop operating in the state.

WASHINGTON – Jaws were dropping around Capitol Hill last week as CUNA President Bill Cheney began a tour of Senate offices with Camden Fine, head of the credit unions’ most virulent enemy, the Independent Community Bankers Association, to lobby for delay of the interchange rule.

In March, 953 cases representing 1,043 plaintiffs were filed U.S. District Courts for alleged violations of the Fair Debt Collection Practices Act (FDCPA) and Telephone Consumer Protection Act (TCPA).

Oregon Attorney General John Kroger has announced St. Louis Park, Minn.-based collection agency Allied Interstate will pay $90,000 to settle abusive collection charges.

WASHINGTON — Cynthia Blankenship was likely not the first banker to discuss the Federal Deposit Insurance Corp.'s overdraft guidance — a significant cause of worry for industry executives — with FDIC Chairman Sheila Bair.

A judge has denied the government's motion to dismiss TCF Financial Corp.'s lawsuit over debit fee regulation.

The Federal Trade Commission settled with an online data broker that charged consumers $10 based on the false promise that it could “lock their records” so that others could not see or buy them.

An arrest warrant has been issued for a former Utah man who allegedly took at least $200,000 from victims after touting himself as a wealthy debt collector.

A coalition representing consumers this week is urging lawmakers to oppose legislation that would put the brakes on proposed debit-interchange rate reductions, while a group of 7-Eleven Inc. franchisees similarly is vowing to keep lobbying Congress to oppose such a delay.

The Federal Reserve Board’s decision this week to take more time to analyze comments before finalizing its proposed debit-interchange rules could mean the final rules might not take as big a bite out of issuer revenue, some analysts believe.

Visa Inc., MasterCard Inc. and several leading Canadian banks that issue their cards face being included in proposed national class-action litigation tied to a lawsuit filed March 28 in the Supreme Court of British Columbia. The suit alleges the card networks and their major issuers conspired to fix prices on fees merchants ultimately pay to accept cards.

The chief sponsor of a Senate bill to delay the interchange rule for as long as two years maneuvered last night to ease passage of the controversial measure by attaching it to popular legislation on small business investment.