CFPB Looks to Get Stimulus Money to Consumers Via Prepaid Cards

Some Americans are already receiving stimulus funds via direct deposit; however the reality is that many consumers still lack bank accounts; the CFPB issued a rule which aims to get around restrictions in the Electronic Fund Transfer Act and Regulation E related to dispensing stimulus funds through a prepaid card; according to a statement from CFPB Director Kathy Kraninger included in the press release, “In these unprecedented times, policymakers are acting swiftly to provide consumers with needed financial support through new mechanisms and for new purposes outside of existing government benefit programs…The steps we are taking today ensure that consumers can receive these payments in a fast, secure, and efficient manner.” American Banker