Law and regulation

Fair Debt Collection Practices Act lawsuits will spike this year to an estimated 11,750 cases – up from the record 8,287 cases in 2009, according to a forecast by one research firm.

In lobbying to defeat an amendment to the bank bill that would roll back interchange fees on debit cards credit unions are finding themselves in an increasingly familiar position – opposing the consumer lobby groups.

Nebraska state officials are warning lawmakers that the debit-interchange amendment in the Senate financial-reform bill could have grave implications for states using prepaid debit cards to disburse government benefits.

The Central Bank of Oman has decided to cap interest rates on credit cards banks in the sultanate issue. The policy takes effect June 1 and applies to existing and new card accounts.

The Independent Community Bankers of America and the Credit Union National Association have once again joined forces to oppose Sen. Richard Durbin's interchange amendment in the Senate regulatory reform bill, arguing the provision should not be part of the final legislation.

A federal judge has put a stop to three companies’ allegedly deceptive telemarketing calls, including robocalls, that promised to reduce consumers’ credit card interest rates.

The Better Business Bureau serving Central California is warning businesses to avoid collection agency Maxwell, Turner & Associates Inc. The Fresno, Calif. agency has an F-rating for 32 unanswered complaints within the last 10 months.

Chinese lawmakers have approved new regulations to help stem the rise in credit card defaults in that country.

While card issuers and payments networks are focusing their attention on the potential consumer harm from a Senate amendment that could lower debit card interchange rates, how it might affect issuers’ bottom lines remains murky, observers say.

Credit Union National Association on Tuesday said it has terminated talks aimed at minimizing the onerous interchange provisions in the bank reform bill and has changed focus to knocking the provision out of the bill when Senate and House leaders meet to reconcile different versions of the legislation.

Though legislation that would permit merchants to set minimum and maximum limits on card transactions remains pending in Congress, it is gaining a lot of attention among merchant acquirers and independent sales organizations.

Credit Union National Association lobbyists broke off negotiations congressional leaders last Thursday and are instead firing up the CU grassroots to lobby for provisions they hope will minimize the impact of interchange amendments added to the bank reform bill passed by the Senate last week.

Confronted with potentially dramatic reductions in checking overdraft-fee revenues, banks are intensely studying new laws and regulations and searching for quick ways to correct broken product economics and re-engage with customers.

Starting Jan. 1, Vermont merchants will be able to set spending minimums for debit and credit card payments under a bill that became law last week despite concerns from the state's governor.

Payments-industry lobbyists late this week began the uphill effort of trying to eliminate an amendment from the financial-reform bill the Senate passed May 20 that would enable the Federal Reserve to control debit card interchange rates.

After three weeks of contentious debate, the Senate approved landmark financial reform legislation 59 to 39 late Thursday.

New York City Mayor Michael R. Bloomberg and Department of Consumer Affairs (DCA) Commissioner Jonathan Mintz this week announced new collection regulations designed to stop abusive collection tactics.

WASHINGTON — The Senate overwhelmingly rejected a measure from Sen. Sheldon Whitehouse late Wednesday that would require national banks to offer credit based on the interest rate limits in cardholders' states.

New York Attorney General Andrew Cuomo filed a lawsuit today against three national lenders and their affiliated companies for targeting members of the military by selling them high-priced electronics, then luring them into illegal credit plans.

Interchange fees are the largest component of merchant card-acceptance fees, and the merchant lobby has been waging an aggressive political campaign to get government to curb them.