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Payment Processor Settles With Massachusetts Attorney General for Prematurely Sending Fees to a Debt Settlement Company

On November 7, Massachusetts Attorney General Maura Healey announced a $600,000 settlement with Oklahoma-based payment processor Global Holdings. Attorney General Healey claimed that Global Holdings violated the Massachusetts...more

CFPB Finds Fraud and Transaction Issues Rank High Among Crypto-Asset Complaints

On November 10, the Consumer Financial Protection Bureau (CFPB) released a new complaint bulletin, highlighting consumer complaints it has received related to crypto-assets. The bulletin suggests that fraud, theft, hacks, and...more

FTC Fines Vonage $100M for “Junk Fees” and Using “Dark Patterns” to Make It Hard for Consumers to Cancel

The Federal Trade Commission (FTC) reached a $100 million settlement with Vonage over allegations that the internet phone service provider violated the FTC and Restore Online Shoppers’ Confidence Act (ROSCA) by adding “junk...more

Democratic Senators Say CFPB Should Strengthen Remittance Transfer Rule

Five Democratic Senators — Elizabeth Warren (MA), Dianne Feinstein (CA), Brian Schatz (HI), Jack Reed (RI), and Alex Padilla (CA) — recently petitioned the Consumer Financial Protection Bureau (CFPB) to “take action to...more

CFPB Issues Guidance on Two Bank “Junk Fee” Categories

As part of its ongoing initiative to scrutinize so-called “junk fees,” the Consumer Financial Protection Bureau (CFPB) published guidance on two practices that it opines potentially violate the Consumer Financial Protection...more

CFPB Files Action Against Online Event Registration Company for Alleged “Digital Dark Patterns” and “Online Trickery”

On October 18, the Consumer Financial Protection Bureau (CFPB) filed a complaint in a Texas federal court against Active Network LLC (Active) for allegedly tricking people, when trying to sign up for a fundraising race or...more

FSOC Cryptocurrency Report Recommends Increased Federal and State Oversight

On October 3, the Financial Stability Oversight Council (FSOC) released its “Report on Digital Asset Financial Stability Risks and Regulation” (Report), concluding, among other things, that unregulated cryptocurrencies could...more

Federal Reserve Finalizes Rule Eliminating Exclusive Debit Card Networks for E-Commerce

On October 3, the Federal Reserve Board (Fed) finalized amendments to Regulation II, the implementing regulation for the Durbin Amendment, now requiring debit card issuers to provide at least two unaffiliated payment card...more

The CFPB's Focus on Crypto and Payments - The Crypto Exchange Podcast [Audio]

In this episode of The Crypto Exchange, Troutman Pepper Consumer Financial Services Partner Kalama Lui-Kwan welcomes back Keith Barnett and Carlin McCrory to discuss recent interviews by Rohit Chopra from the CFPB related to...more

Nevada Bill Adopts Uniform Money Transmission Modernization Act

On September 16, the Nevada Financial Institutions Division (NFID) introduced a bill draft request to the Nevada Legislature for the 2023 legislative session. If passed, the bill will adopt the Model Money Transmission...more

Whose Crypto Is It Anyway? Bankruptcy and Crypto - The Crypto Exchange Podcast [Audio]

In this episode of The Crypto Exchange, Troutman Pepper Partner Keith Barnett welcomes his colleague Deborah Kovsky-Apap to discuss various bankruptcy issues facing crypto exchanges, including who exactly owns the digital...more

Eleventh Circuit En Banc Panel Reverses Controversial Hunstein Decision

In a much anticipated decision released September 8, an en banc panel of the Eleventh Circuit Court of Appeals reversed the district court’s decision that a debt collector’s outsourcing of its letter process to a third-party...more

FedNow Set for 2023 Summer Launch

On August 29, the Federal Reserve Board (Fed) announced that its real-time payments system, FedNow, will launch sometime between May and July of 2023. FedNow will provide a platform on which banks can build their products....more

FDIC Takes Action to Stop Cryptocurrency Companies from Making False or Misleading Representations About Deposit Insurance

On August 19, the Federal Deposit Insurance Corporation (FDIC) issued cease and desist letters to five cryptocurrency companies, demanding they refrain from making allegedly false and misleading statements about deposit...more

Senators Urge CFPB to Increase Consumer Protection Against Payment App Scams - The Crypto Exchange Podcast [Audio]

In this episode of The Crypto Exchange, Troutman Pepper Consumer Financial Services Partner Kalama Lui-Kwan welcomes back Keith Barnett and Carlin McCrory to discuss consumer protection under Regulation E and a recent letter...more

Under the Fed’s Tiered System, Requests for Master Account Access by Cryptocurrency Companies Will Be Subject to the Strictest...

On August 15, the Federal Reserve Board (Fed) issued final guidelines, outlining the tiered approach it will use when evaluating the growing requests from fintech firms and cryptocurrency companies for access to master...more

Merchants Are Now Consumers? FTC Settles Action Against Payment Processor After Alleging Its Merchants Are "Consumers"

On July 29, the Federal Trade Commission (FTC) filed a complaint and executed a stipulated order with payment processor First American Payment Systems LP (First American) and companies that market its services — Eliot...more

A Conversation with Third Party Payment Processors Association President Marsha Jones - The Crypto Exchange Podcast [Audio]

In this episode of The Crypto Exchange, Troutman Pepper attorneys Keith Barnett and Carlin McCrory welcome Marsha Jones from the Third Party Payment Processors Association to discuss a portion the ENABLERS Act, which proposes...more

Whose Crypto Is It, Anyway?

On July 18, the maxim “not your keys, not your coin” took on a whole new meaning for customers of the bankrupt cryptocurrency exchange Celsius Network LLC, which had filed Chapter 11 in the Bankruptcy Court for the Southern...more

14 Years Later: Ringleaders of Publisher’s Business Services Subscription Scam Finally Held Accountable

On May 25, the Federal Trade Commission (FTC) entered a Stipulated Order for Monetary Judgment against Publishers Business Services, Inc. (PBS), and its officers, Brenda Dantuma Schang, Dries Dantuma, Dirk Dantuma, and...more

Crypto and Beyond: California DFPI Opinions on Money Transmission and the Money Transmission Act - The Crypto Exchange Podcast [Audio]

In second episode of The Crypto Exchange, Troutman Pepper Consumer Financial Services Partner Ethan Ostroff welcomes back Keith Barnett and Carlin McCrory to discuss opinions released over the past year involving money...more

Convenience Fees: Why You Need to Pay Attention? - The Crypto Exchange Podcast [Audio]

In the first episode of The Crypto Exchange, Troutman Pepper Consumer Financial Services Partner Ethan Ostroff welcomes his colleagues Keith Barnett and Carlin McCrory to discuss recent developments with convenience fees in...more

Citing Uptick in Complaints, CFPB Will Push Banks to Refund More Victims of Money Transfer Scams

As peer-to-peer money transfer services (or cash apps) become more popular, there has been an increase in the number of scams enticing consumers to transfer funds to fraudsters. The law currently provides that the banks that...more

Introducing The Crypto Exchange Podcast [Audio]

Troutman Pepper’s The Crypto Exchange podcast explores the trends, challenges, and legal issues our clients and others in the industry face daily. Featuring insights from the firm’s FinTech and Payments practice groups, our...more

Louisiana Proposes Virtual Currency Rules for Businesses

On June 20, the Louisiana Office for Financial Institutions (OFI) proposed a Rule on licensure, registration, and regulation of persons engaging, or planning to engage, in virtual currency business activity in Louisiana. The...more

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