A Thing
The Green SheetGreen Sheet

Thursday, January 17, 2013

Florida reaches settlement with prepaid card firms

On Jan. 16, 2013, the office of Florida Attorney General Pam Bondi said it reached a settlement with five prepaid card providers over alleged unclear disclosures and misleading statements made to consumers. The AG's office said the "first-of-its-kind settlements" with AccountNow Inc., First Data Corp., Green Dot Corp., NetSpend Corp. and Unirush LLC require the companies to institute reforms to their business practices and donate a total of $115,000 to the Central Florida Chapter of Junior Achievement (JACF).

Bondi's office said the attorney general's Consumer Protection Division initiated an investigation into the prepaid card providers' business practices to determine whether the companies were clearly disclosing fee schedules to consumers and not misleading consumers about how they could build credit ratings by using prepaid cards.

"The reforms we are requiring will protect consumers by providing them with the information they need in order to make sound financial decisions, and they establish standard business practices among Florida's largest prepaid debit card companies," Bondi said.

AccountNow, Green Dot, NetSpend and Unirush agreed to donate $25,000 apiece to JACF, with First Data pitching in $15,000. end of article

The Green Sheet Inc. is now a proud affiliate of Bankcard Life, a premier community that provides industry-leading training and resources for payment professionals. Click here for more information.

Notice to readers: These are archived articles. Contact names or information may be out of date. We regret any inconvenience.

2022 2021 2020 2019 2018 2017 2016 2015 2014 2013 2012 2011 2010 2009 2008 2007
A Thing