Shows
Payments Pros – The Payments Law PodcastRegulatory Rollback: Legal Challenges and Opportunities in Earned-Wage AccessIn this special joint episode of The Consumer Finance Podcast and Payments Pros, Chris Willis, co-leader of Troutman Pepper Locke's Consumer Financial Services Regulatory Practice, is joined by Keith Barnett and Jason Cover from the Payments Pros podcast, along with Troutman Pepper Locke Consumer Financial Services Partner Mark Furletti. They discuss the future of earned-wage access (EWA) products following the Consumer Financial Protection Bureau's (CFPB) rescission of previous guidance. The conversation explores the history and evolution of EWA products, initially designed as employer-based solutions to provide employees early access to earned wages without extending credit.The group...2025-07-2425 min
The Consumer Finance PodcastFrom Banks to Fintech: The Evolution of Small Business LendingIn this special crossover edition of Payments Pros and The Consumer Finance Podcast, Carlin McCrory and Jason Cover are joined by their colleague Caleb Rosenberg to explore the evolving landscape of small business financing. They highlight the significant growth in diverse financing products and providers, which have expanded funding access for small businesses, particularly startups.The discussion outlines the evolution from traditional bank lending to the rise of online and fintech solutions, which have filled gaps left by conventional lenders. The group also examines the complexities of the regulatory environment, focusing on the increased scrutiny from state...2025-07-1015 minPayments Pros – The Payments Law PodcastFrom Banks to FinTech: The Evolution of Small Business LendingIn this special crossover edition of the Payments Pros and Consumer Finance podcasts, Carlin McCrory and Jason Cover are joined by their colleague Caleb Rosenberg to explore the evolving landscape of small business financing. They highlight the significant growth in diverse financing products and providers, which have expanded funding access for small businesses, particularly startups.The discussion outlines the evolution from traditional bank lending to the rise of online and fintech solutions, which have filled gaps left by conventional lenders. The group also examines the complexities of the regulatory environment, focusing on the increased scrutiny from state...2025-07-0915 minPayments Pros – The Payments Law PodcastNavigating Elder Fraud: Challenges and Legal Trends in Payment SystemsIn this episode of Payments Pros, Carlin McCrory is joined by Mary Zinsner, a partner in the Consumer Financial Services Practice Group, to explore the increasing litigation trends in the payments industry, with a focus on elder fraud and financial exploitation.Mary provides valuable insights into how these fraud cases frequently involve diverse payment systems, such as wire transfers and electronic fund transfers. The conversation sheds light on the challenges faced by financial institutions, including the delicate balance between compliance and customer satisfaction, as well as navigating claims related to negligence and breach of contract....2025-06-1824 minPayments Pros – The Payments Law PodcastUnderstanding MALPB Charters: A Collaborative Approach to Banking InnovationIn this episode of Payments Pros, Carlin McCrory welcomes Melissa Sneed from the Georgia Department of Banking and Finance and James Stevens, co-leader of Troutman Pepper Locke's Financial Services Industry Group, to explore Merchant Acquirer Limited Purpose Bank (MALPB) charters.Melissa, the deputy commissioner for supervision, outlines the application process for obtaining a MALPB charter, emphasizing the importance of a comprehensive review of financials, management, IT systems, and compliance. She explains the timeline for the process, noting a six-month review period followed by a 90-day decision window after accepting the application, with conditional approvals extending through a...2025-06-0419 minPayments Pros – The Payments Law PodcastWelcoming a New Payment Pro: Jason Cover Joins the Payments Pros PodcastIn this episode of Payments Pros, Carlin McCrory introduces Jason Cover as a new co-host. Jason, a partner in Troutman Pepper Locke's Consumer Financial Services practice, brings extensive knowledge in consumer lending and payments laws. He advises clients on electronic payments, online small business lending, electronic consents, contracts, disclosures, and recurring payment methods. As a fintech consumer credit attorney, Jason focuses on regulatory compliance and product design, covering both federal and state laws. His insights into payment authorizations, Regulation E, and Nacha rules are invaluable.
2025-05-2107 minPayments Pros – The Payments Law PodcastPayments Medley: Navigating Trends in Payments With Jason MikulaIn this episode of Payments Pros, host Carlin McCrory welcomes Jason Mikula, a seasoned fintech and banking advisor, to explore various topics within the payments industry. They begin by examining the implications of U.S. sanctions on global payment systems and the potential shift away from U.S.-controlled payment rails. The discussion then moves to the viability of pay-by-bank systems in the U.S., focusing on the challenges posed by entrenched card payment behaviors.Carlin and Jason further discuss the sustainability of nonbank fintech businesses that rely solely on interchange fees, highlighting the necessity for diversified...2025-05-0738 min
The Crypto ExchangeNavigating the Future of Payment Stablecoins: Legislative Updates and Market ImplicationsIn this special crossover edition of the Payments Pros and Crypto Exchange podcast, Carlin McCrory is joined by colleagues Alex Barrage and Ethan Ostroff to discuss recent legislative updates surrounding payment stablecoins. The group begins by exploring the advantages of payment stablecoins, such as their 24/7 availability and programmability, and the merits of having robust competition for stablecoin issuance and use cases.They also highlight the introduction of the Anti-CBDC Surveillance State Act and the potential for states like Wyoming to issue their own stablecoins. The discussion covers the Securities and Exchange Commission's recent statement on USD-backed stablecoins...2025-04-2433 minPayments Pros – The Payments Law PodcastNavigating the Future of Payment Stablecoins: Legislative Updates and Market ImplicationsIn this special crossover edition of the Payments Pros and Crypto Exchange podcast, Carlin McCrory is joined by colleagues Alex Barrage and Ethan Ostroff to discuss recent legislative updates surrounding payment stablecoins. The group begins by exploring the advantages of payment stablecoins, such as their 24/7 availability and programmability, and the merits of having robust competition for stablecoin issuance and use cases.They also highlight the introduction of the Anti-CBDC Surveillance State Act and the potential for states like Wyoming to issue their own stablecoins. The discussion covers the Securities and Exchange Commission's recent statement on USD-backed stablecoins...2025-04-2433 minPayments Pros – The Payments Law PodcastStrengthening Compliance: Lessons From the OCC's Consent Order With Patriot BankIn this episode of Payments Pros, host Carlin McCrory discusses a recent consent order between Patriot Bank and the Office of the Comptroller of the Currency (OCC) following a $27 million loss. The order addresses unsafe practices and legal violations, focusing on prepaid card program oversight. Key areas of concern include the need for a strategic plan, evaluation of internal operations, and staffing requirements. The bank must also enhance its Customer Identification Program (CIP) and ensure adequate monitoring of third-party program managers.Carlin discusses key takeaways from the OCC's consent order with Patriot Bank, emphasizing that other banks...2025-04-0214 minPayments Pros – The Payments Law PodcastVirtual Currency Regulations: Key Insights for the Payments IndustryIn the latest episode of Payments Pros, hosts Keith Barnett and Carlin McCrory discuss the latest FinCEN and OFAC guidance on virtual currency transactions, specifically tailored for companies in the payments industry. They explore when businesses need to register as money services businesses (MSBs) under federal law and discuss the roles of users, exchangers, and administrators of virtual currencies. Carlin provides a detailed look at the regulatory requirements for both centralized and decentralized virtual currencies.Keith then shifts the focus to OFAC's expectations for screening virtual currency transactions, emphasizing the importance of compliance with sanctions regulations. He...2025-03-1925 minPayments Pros – The Payments Law PodcastCFPB's Inquiry Into Payments PrivacyIn the latest episode of Payments Pros, host Carlin McCrory welcomes Kim Phan to discuss the Consumer Financial Protection Bureau's (CFPB) recent inquiries into enhancing privacy protections.On January 10, the CFPB sought public input on improving privacy safeguards and curbing harmful surveillance and digital payments, particularly those offered by large technology platforms. The CFPB is particularly interested in comments on existing financial privacy laws and issues related to intrusive data collection and personalized pricing.Carlin and Kim highlight the CFPB's ongoing efforts to regulate big tech firms, which they view as operating outside traditional banking...2025-03-0520 minPayments Pros – The Payments Law Podcast2024 Payments Year in Review: CFPB and FTC Regulatory Trends – Part FourIn the final installment of the four-part "Payments Year in Review" series, hosts Keith Barnett and Carlin McCrory discuss significant enforcement actions and regulatory trends. The discussion begins with the increased scrutiny from the Federal Deposit Insurance Corporation (FDIC) and Office of the Comptroller of the Currency (OCC) on bank and nonbank partnerships, emphasizing sound risk management and compliance. Key themes include third-party risk management, board governance, Bank Secrecy Act/Anti-Money Laundering compliance, and liquidity risk. The episode also addresses the proposed FDIC deposit insurance record-keeping rule.The discussion then shifts to Federal Trade Commission (FTC) and...2025-02-2019 minPayments Pros – The Payments Law Podcast2024 Payments Year in Review: CFPB and FTC Regulatory Trends – Part ThreeIn the third installment of the four-part "Payments Year in Review" series, hosts Keith Barnett, Josh McBeain, and Carlin McCrory discuss the Federal Trade Commission's (FTC) actions in 2024 and their expectations for 2025.They begin by examining amendments to the Telemarketing Sales Rule, which now includes inbound calls for technical support services. The discussion then shifts to the FTC's annual report to the Consumer Financial Protection Bureau (CFPB), highlighting enforcement activities in areas such as automobile financing, electronic fund transfers, and deceptive fees. Finally, the co-hosts review the finalized amendments to the Negative Option Rule, which impose stricter...2025-02-1315 minPayments Pros – The Payments Law Podcast2024 Payments Year in Review: CFPB and FTC Regulatory Trends – Part TwoIn the second installment of a four-part Payments Year in Review series, Keith Barnett and Josh McBeain discuss significant developments in the payments landscape from the Consumer Financial Protection Bureau (CFPB) in 2024 and expectations for 2025.Our co-hosts continue with a discussion of the CFPB's proposed interpretive rule on earned wage access products, highlighting its broad definitions and aggressive stance on fees, which conflict with many state laws.They also discuss significant CFPB rulemakings, including the final credit card late fee rule and the overdraft rule, both of which face legal challenges. Keith and Josh close...2025-02-0522 minPayments Pros – The Payments Law Podcast2024 Payments Year in Review: CFPB and FTC Regulatory Trends – Part OneIn the first installment of a four-part Payments Year in Review series, Keith Barnett and Carlin McCrory discuss significant developments in the payments landscape from the Consumer Financial Protection Bureau (CFPB) and the Federal Trade Commission (FTC) in 2024 and expectations for 2025.Our co-hosts begin with an overview of the CFPB's new rule for supervising large tech companies offering digital wallets and payment apps. Despite its finalization, and since our episode has been recorded, the rule has been challenged in the U.S. District Court for the District of Columbia.The discussion then shifts to the...2025-01-2920 minPayments Pros – The Payments Law PodcastNavigating Consumer Protection: The CFPB's Expanding ReachIn the latest episode of Payments Pros, host Carlin McCrory welcomes Jesse Silverman to discuss the Consumer Financial Protection Bureau's (CFPB) recent order asserting supervisory authority over Google Payment Corp.The CFPB's claim is based on Dodd-Frank Section 1024, which includes a category for entities posing a risk to consumers. The CFPB cited 267 consumer complaints about Google Pay products as the basis for its action. Jesse highlights the ambiguity in terms like "risk" and "reasonable cause" within the Dodd-Frank Act and questions the material impact of CFPB supervision. Google Payment Corp. has sued the CFPB, arguing that the...2025-01-0823 minPayments Pros – The Payments Law PodcastUnderstanding the DFPI's Proposed Rules: A Deep Dive Into California's Digital Financial Assets LawIn this special crossover episode of the Payments Pros and Crypto Exchange podcasts, our hosts are joined by colleague Alexandra Steinberg Barrage to discuss California's Department of Financial Protection and Innovation’s proposed rulemaking under the Digital Financial Assets Law (DFAL).The group discusses various aspects of the new cryptocurrency licensing regime, including licensure exemptions, required disclosures, conditional licensing, and digital asset kiosk requirements. They provide an overview of the DFAL, highlighting its broad licensing and enforcement framework, as well as recent legislative updates extending licensure deadlines. Comparisons are drawn between DFAL and New York's BitLicense, emphasizing th...2024-12-1725 minPayments Pros – The Payments Law PodcastNavigating CFPB Enforcement: Key Takeaways From the Global Tel Link Consent OrderIn the latest episode of Payments Pros, hosts Keith Barnett and Carlin McCrory discuss a significant Consumer Financial Protection Bureau (CFPB) enforcement action against Global Tel Link Corporation (GTL), issued on November 14. This action resulted in a consent order addressing chargebacks, alternate payment channel fees, and handling of inactive accounts.
2024-12-0416 minPayments Pros – The Payments Law PodcastAI in Payments: Practical Applications and Legal InsightsIn the latest episode of Payments Pros, host Carlin McCrory is joined by Jason Cover to discuss the role of artificial intelligence (AI) in the payments industry. They define AI and generative AI, highlighting its capabilities in generating text, images, and other data. Jason outlines four key considerations for using AI: ensuring data quality, adhering to applicable laws, understanding AI operations, and maintaining human oversight.Carlin and Jason explore practical applications of AI in the payments sector, such as customer service chatbots and automated dispute resolution. Jason emphasizes the importance of supervised AI use to avoid potential...2024-10-3013 minPayments Pros – The Payments Law PodcastNavigating Regulatory Waters: Recent Enforcement Actions in BaaSIn the latest episode of Payments Pros, hosts Carlin McCrory and Keith Barnett are joined by James Stevens to discuss recent enforcement actions in the banking as a service (BaaS) space. They delve into regulatory trends, consent orders, and future anticipated regulatory scrutiny.James explains the concept of BaaS, highlighting the regulatory scrutiny it faces due to its rapid growth and complexity. The conversation covers common themes in enforcement actions, such as compliance with the Bank Secrecy Act and consumer protection laws. The group discusses the importance of robust due diligence, contracts, and ongoing monitoring in BaaS...2024-10-1616 minPayments Pros – The Payments Law PodcastThe Evolving Landscape of B2B Payments: Regulatory Trends and Financial Practices ExplainedIn this episode of Payments Pros, host Josh McBeain is joined by Caleb Rosenberg, a member of the firm's Consumer Financial Services practice group, to discuss the complexities of business-to-business payments and the increasing state law requirements associated with them.Josh and Caleb explore the differences between merchant cash advances (MCAs) and factoring, noting that factoring involves the sale of already owed receivables, while MCAs involve the sale of future receivables. They also address the recent surge in state-level regulations, which has led states like California and New York to enact disclosure laws. Additionally, they discuss the...2024-10-0211 minPayments Pros – The Payments Law PodcastWelcome Trevor Salter: A Deep Dive Into Financial Services TransactionsIn this special joint episode of Payments Pros and The Consumer Finance Podcast, Chris Willis and Carlin McCrory introduce Trevor Salter, a seasoned financial services transactional attorney who recently joined Troutman Pepper. Trevor shares his unique career journey from aspiring environmental attorney to becoming a key player in consumer financial services. The discussion delves into Trevor's experience in strategic partnerships, card partnerships, and consumer data integrations, highlighting the synergies with the firm's comprehensive financial services practice. Tune in to learn more about Trevor's background, his decision to join the firm, and the exciting future ahead for the firm's financial...2024-09-1817 minPayments Pros – The Payments Law Podcast2024 State Legislative Review: Key Payment Laws and Their ImpactsIn this episode of Payments Pros, host Keith Barnett reviews state legislative actions in 2024 related to payments, focusing on the Money Transmission Modernization Act (MTMA), earned wage access (EWA), and peer-to-peer payments.Keith discusses the MTMA, a model law aimed at standardizing state money transmitter laws. Seventeen states considered the MTMA in 2024, with eight states passing it in some form. Key provisions include removing the "in the business of" language, incorporating the agent of the payee exemption, and inconsistencies on whether to include payroll processors within the definition of money transmission. The MTMA also imposes bonding requirements...2024-09-0418 minPayments Pros – The Payments Law PodcastEarned Wage Access: Exploring the CFPB's Proposed Interpretive RuleIn this special crossover episode of Payments Pros and The Consumer Finance Podcast, Carlin McCrory, Keith Barnett, and Chris Willis are joined by Jason Cover and Mark Furletti to discuss the Consumer Financial Protection Bureau's (CFPB) proposed interpretive rule on earned wage access (EWA) products. EWA allows employees to access wages they have earned before payday, with two main models: employer-integrated and direct-to-consumer. The conversation explores the differences between EWA and payday lending, emphasizing that EWA typically does not involve finance charges or obligations to repay.The podcast explains the CFPB's proposed interpretive rule, which replaces the 2020...2024-08-2220 minThe Consumer Finance PodcastEarned Wage Access: Exploring the CFPB's Proposed Interpretive RuleIn this special crossover episode of Payments Pros and The Consumer Finance Podcast, Carlin McCrory, Keith Barnett, and Chris Willis are joined by Jason Cover and Mark Furletti to discuss the Consumer Financial Protection Bureau's (CFPB) proposed interpretive rule on earned wage access (EWA) products. EWA allows employees to access wages they have earned before payday, with two main models: employer-integrated and direct-to-consumer. The conversation explores the differences between EWA and payday lending, emphasizing that EWA typically does not involve finance charges or obligations to repay.The podcast explains the CFPB's proposed interpretive rule, which replaces the 2020...2024-08-2220 minPayments Pros – The Payments Law PodcastUnderstanding the CFPB's Payday Loan Rule: Implications and ComplianceIn this special crossover episode of the Payments Pros Podcast and The Consumer Finance Podcast, Josh McBeain and Chris Willis are joined by colleagues Mark Furletti and Jason Cover to delve into the CFPB's Payday Loan Rule, which is set to become effective again following a Supreme Court decision. The discussion unpacks the broad scope of the rule, extending beyond traditional payday loans to include various financial products. The episode highlights the complexities of compliance, the nuances of the rule's definitions, and the critical steps lenders must take before the March 30, 2025, compliance deadline. Don't miss this insightful conversation on...2024-08-0818 minThe Consumer Finance PodcastWelcome Trevor Salter: A Deep Dive Into Financial Services TransactionsIn this special joint episode of Payments Pros and The Consumer Finance Podcast, Chris Willis and Carlin McCrory introduce Trevor Salter, a seasoned financial services transactional attorney who recently joined Troutman Pepper. Trevor shares his unique career journey from aspiring environmental attorney to becoming a key player in consumer financial services. The discussion delves into Trevor's experience in strategic partnerships, card partnerships, and consumer data integrations, highlighting the synergies with the firm's comprehensive financial services practice. Tune in to learn more about Trevor's background, his decision to join the firm, and the exciting future ahead for the firm's financial...2024-08-0817 minPayments Pros – The Payments Law PodcastNavigating New Compliance Challenges: The Impact of the Money Transmitter Modernization Act on Payroll ProcessingIn this episode of Payments Pros, Keith Barnett is joined by Eli Polanco, founder and CEO of Nivelo, to discuss critical issues in payroll processing. They highlight the significant impact that the Money Transmitter Modernization Act (MTMA) will have on payroll processors in the states that have adopted the portion of the MTMA requiring payroll processors to obtain money transmitter licenses.Eli explains the complexities introduced by the MTMA, including the need for payroll providers to navigate through state regulations. This has led to increased operational costs and uncertainty within the industry.The discussion also...2024-07-2629 minPayments Pros – The Payments Law PodcastCFPB's New Interpretive Rule: Buy Now, Pay Later as Credit CardsIn this special crossover episode of The Consumer Finance Podcast and Payments Pros Podcast, Chris Willis and Josh McBeain interview two colleagues who delve into the Consumer Financial Protection Bureau's (CFPB) recent interpretive rule that classifies buy now, pay later (BNPL) transactions as credit cards. Mark Furletti and Jason Cover explore the implications of this rule under Regulation Z, including the introduction of the term "digital user account" and its impact on BNPL providers. The discussion covers the regulatory requirements, potential challenges for compliance, and the broader legal context, including the possible effects of the Loper Bright case on...2024-07-1118 minPayments Pros – The Payments Law PodcastRegulation Through Enforcement: Insights From the BlueSnap LawsuitIn this episode of Payments Pros, host Keith Barnett discusses the Federal Trade Commission's (FTC) lawsuit and $10 million settlement against the payment facilitator, BlueSnap. On May 1, the FTC filed a complaint alleging that BlueSnap and its executives aided and abetted a debt relief service provider's violations of the Telemarketing Sales Rule, along with violating Section 5 of the FTC Act.Keith highlights the FTC's allegations regarding BlueSnap's onboarding and due diligence processes, noting the issues that the FTC examines when investigating companies that facilitate payments, such as email correspondence, chargeback rates, fraud monitoring alerts, consumer complaints, and the...2024-06-2022 minPayments Pros – The Payments Law PodcastThird-Party Risk Management in Bank-Fintech Partnerships: Strategies and InsightsIn this episode of Payments Pros, Carlin McCrory is joined by Nathan Ottinger, president of Georgia Banking Company's Payments and Technology Banking Group. They delve into the current state of the payments marketplace, characterized by heightened regulatory scrutiny and rapid innovation. Nathan underscores the importance of well-documented risk management strategies for financial institutions and the necessity for businesses to secure proficient legal counsel, particularly in the realm of money transmission.Nathan shares how Georgia Banking Company strategically focuses on specific industry segments and payment types, consciously avoiding the allure of the latest trends in bank-fintech partnerships. He...2024-06-0524 minPayments Pros – The Payments Law PodcastAn In-Depth Analysis of the CFPB's Proposed Overdraft RuleIn this episode of Payments Pros, Josh McBeain and Chris Willis discuss the Consumer Financial Protection Bureau's (CFPB) proposed rule on overdraft fees. The rule, which only applies to large financial institutions with assets over $10 billion, aims to regulate overdraft services by altering the definition of 'finance charge,' effectively subjecting these institutions to Regulation Z's disclosure and substantive provisions. Chris and Josh delve into the complexities of the proposed rule, considering its potential implications and the likelihood of litigation challenges from the industry. They also discuss the role of the Truth in Lending Act (TILA) and the concept...2024-05-2219 minPayments Pros – The Payments Law PodcastTackling Credit Push Fraud: Understanding Nacha's Risk Management Package (Part Two)In the final episode of the Payments Pros special two-part series, Jordan Bennett, Nacha's senior director of network risk management, joins Keith and Carlin to discuss the new rules regarding fraud monitoring.Fraud Monitoring Phase 1 will become effective on March 20, 2026, and Phase 2 on June 19, 2026. These rules require all nonconsumer originators, ODFIs, third-party service providers, and third-party senders to establish and implement risk-based procedures to identify potential fraudulent transactions. The aim is to reduce the incidence of successful fraud attempts.The group discusses that the rules do not prescribe a specific method for monitoring, allowing each...2024-05-0210 minPayments Pros – The Payments Law PodcastTackling Credit Push Fraud: Understanding Nacha's Risk Management Package (Part One)In this episode of Payments Pros, Carlin and Keith welcome back Jordan Bennett, Nacha's senior director of network risk management, for a two-part series on the newly approved rules designed to combat credit push fraud. Credit push fraud has been on the rise, and Nacha released a risk management framework to increase awareness and mitigate such frauds.The new rules, approved by Nacha's members on March 18, aim to mitigate fraud incidents such as business email compromise and efforts to exploit credit push payments. Part one of this series explores the risk management package, discussing the comprehensive set...2024-04-1917 minPayments Pros – The Payments Law PodcastNavigating the Corporate Transparency ActIn this episode of Payments Pros, Carlin McCrory is joined by Nick St. John, director of regulatory compliance at America's Credit Unions, to discuss the Corporate Transparency Act (CTA) and related developments from the Financial Crimes Enforcement Network (FinCEN). Enacted in 2021, the CTA aims to combat the use of anonymous legal entities for money laundering. It mandates that legal entities report their beneficial ownership information to FinCEN, which maintains a database accessible to law enforcement, financial institutions, and other entities that meet specific criteria.Nick explains that the CTA applies to corporations and similar entities, with exceptions...2024-04-0416 minPayments Pros – The Payments Law PodcastThe CFPB's Final Credit Card Late Fee Rule: Implications and Industry ResponseIn this special crossover edition of Payments Pros and The Consumer Finance Podcast, Chris Willis is joined by Josh McBeain and Glen Trudel. They discuss the recent final credit card late fee rule issued by the Consumer Financial Protection Bureau (CFPB) and the industry's reaction to it. The rule lowers the safe harbor provision dollar amount for late fees to $8 for large credit card issuers and increases it for small issuers. The team also discusses the legal challenge filed against the rule by a collective of trade groups. They speculate on potential industry responses if the rule survives legal...2024-03-2120 minThe Consumer Finance PodcastUnderstanding the CFPB's Proposed Digital Payments Larger Participants Rule and Its Implications for Digital AssetsIn this special crossover episode with Payments Pros and The Crypto Exchange, Ethan Ostroff, James Kim, and Carlin McCrory discuss the Consumer Financial Protection Bureau's (CFPB) proposed rule to supervise large tech companies and other providers of digital wallets and payment apps. The proposed rule asserts that digital assets are "funds" subject to the Dodd-Frank Act and other federal consumer financial laws and regulations, which would expand the CFPB's supervisory powers to examine companies facilitating crypto and other digital asset transactions.Our group discusses the legal basis for the CFPB's assertion of jurisdiction over digital assets, and...2024-03-1425 minPayments Pros – The Payments Law PodcastInstant Decline, Instant Relief? Unpacking the CFPB's Proposed Rule on NSF FeesIn this episode of Payments Pros, co-hosts Keith Barnett and Carlin McCrory discuss the Consumer Financial Protection Bureau's (CFPB) latest proposed rule. This rule aims to prohibit covered financial institutions from charging consumers nonsufficient funds (NSF) fees on transactions that are declined instantaneously or near instantaneously.The CFPB believes this rule will benefit consumers who would otherwise incur NSF fees, potentially leading their accounts to drop to zero or below zero. However, it also acknowledges that financial institutions may become less willing to open depository accounts for these consumers, potentially increasing the number of unbanked and underbanked...2024-03-0722 minPayments Pros – The Payments Law PodcastUnderstanding the CFPB's Proposed Digital Payments Larger Participants Rule and Its Implications for Digital AssetsIn this special joint episode of Payments Pros and The Crypto Exchange, Ethan Ostroff, James Kim, and Carlin McCrory discuss the Consumer Financial Protection Bureau's (CFPB) proposed rule to supervise large tech companies and other providers of digital wallets and payment apps. The proposed rule asserts that digital assets are "funds" subject to the Dodd-Frank Act and other federal consumer financial laws and regulations, which would expand the CFPB's supervisory powers to examine companies facilitating crypto and other digital asset transactions.Our group discusses the legal basis for the CFPB's assertion of jurisdiction over digital assets, and...2024-02-2724 minThe Crypto ExchangeUnderstanding the CFPB's Proposed Digital Payments Larger Participants Rule and Its Implications for Digital AssetsIn this special joint episode of Payments Pros and The Crypto Exchange, Ethan Ostroff, James Kim, and Carlin McCrory discuss the Consumer Financial Protection Bureau's (CFPB) proposed rule to supervise large tech companies and other providers of digital wallets and payment apps. The proposed rule asserts that digital assets are "funds" subject to the Dodd-Frank Act and other federal consumer financial laws and regulations, which would expand the CFPB's supervisory powers to examine companies facilitating crypto and other digital asset transactions.Our group discusses the legal basis for the CFPB's assertion of jurisdiction over digital assets, and...2024-02-2724 minPayments Pros – The Payments Law Podcast2023 Payments Year in Review: Subscriptions, FedNow, and More!In the second and final installment of our two-part Payments Year in Review series, Keith Barnett, Carlin McCrory, and Josh McBeain continue their discussion around the payments landscape of 2023 and their predictions for 2024.In this episode, our co-hosts discuss the CFPB and FTC's attempts to regulate negative options, the Federal Reserve's FedNow, the adoption of Money Transmission Modernization Act in several states, Nacha's proposed risk management framework for credit push fraud, and state legislation concerning Earned Wage Access.More information about 2023 regulatory developments can be found in our 2023 Payments Year in Review.
2024-02-2222 minPayments Pros – The Payments Law Podcast2023 Payments Year in Review: CFPB and FTC Regulatory TrendsIn the first installment of a two-part Payments Year in Review series, Keith Barnett, Carlin McCrory, and Josh McBeain delve into the payments landscape of 2023 and share their predictions for 2024.Our co-hosts discuss the Consumer Financial Protection Bureau's (CFPB) proposed rule to supervise "larger participants" in the market for general-use digital consumer payment applications. They also examine the CFPB's report on complaints about payment app fraud, their statements on add-on fees and fees associated with requests for account information, as well as their efforts to reduce credit card late fees. Not to be left out of the...2024-02-0830 minPayments Pros – The Payments Law PodcastExploring the Potential of Georgia's Merchant Acquirer Limited Purpose Bank CharterIn this episode of Payments Pros, Keith Barnett is joined by James Stevens to discuss the Merchant Acquirer Limited Purpose Bank Charter (MALPB) in Georgia, a unique charter that allows companies to offer merchant payment processing services without a sponsoring partner bank. Despite being enacted 12 years ago, companies have been unable to utilize it due to card networks not allowing direct participation. This could change soon, especially with Fiserv's recent application.Keith and James note that MALPB is limited to merchant activities and has specific rules regarding merchant funds. The application process is rigorous, involving a detailed...2024-02-0119 minPayments Pros – The Payments Law PodcastRedefining Banking: A Conversation on the CFPB's Proposed 1033 RuleIn this episode of Payments Pros, Keith Barnett and Carlin McCrory are joined by Jordan Wright, CEO of Atomic Financial, to discuss the Consumer Financial Protection Bureau's (CFPB) proposed 1033 rule. This rule aims to limit the misuse or sale of consumer data, and is expected to be finalized by summer 2024.Jordan highlights the importance of data portability in banking, comparing it the telecommunications industry's phone number portability. He suggests that the rule will increase competition, forcing banks to offer better services to retain customers.The proposed 1033 rule requires financial institutions, starting with the largest, to...2024-01-1815 minPayments Pros – The Payments Law PodcastDecoding the CFPB's Recent Report: An Examination of "Junk Fees" and Their Impact on ConsumersIn this episode of Payments Pros, Keith Barnett and Carlin McCrory discuss the Consumer Financial Protection Bureau's (CFPB) fall supervisory highlights, focusing on "junk fees." The report covers examinations in areas of deposits, auto servicing, and remittances completed between February and August 2023. The recent report reveals that their efforts have resulted in institutions refunding more than $140 million to consumers. The report primarily focuses on deposits as an area of supervisory observations.Keith and Carlin also note that the report discusses CFPB identifying unfair practices by financial institutions, which have been charging consumers representment nonsufficient funds (NSF) fees...2024-01-1027 minPayments Pros – The Payments Law PodcastThe Future of Digital Consumer Payment Applications: CFPB's Proposed Larger Participant Rule – Crossover Episode with The Consumer Finance PodcastIn this special joint episode of Payments Pros and The Consumer Finance Podcast, Carlin McCrory, Keith Barnett, James Kim, and Chris Willis discuss the Consumer Financial Protection Bureau's (CFPB) proposed larger participant rule for consumer payments providers.The rule is designed to supervise general use digital consumer payment applications, defining a market for these applications and subjecting participants to CFPB supervision and examination under the Consumer Financial Protection Act. Proposed on November 7, the rule targets nonbanks that provide general use digital consumer payment applications with an annual volume of at least five million consumer payment transactions. The...2023-12-1323 minThe Consumer Finance PodcastThe Future of Digital Consumer Payment Applications: CFPB's Proposed Larger Participant Rule – Crossover Episode with Payments Pros PodcastIn this special joint episode of Payments Pros and The Consumer Finance Podcast, Carlin McCrory, Keith Barnett, James Kim, and Chris Willis discuss the Consumer Financial Protection Bureau's (CFPB) proposed larger participant rule for consumer payments providers.The rule is designed to supervise general use digital consumer payment applications, defining a market for these applications and subjecting participants to CFPB supervision and examination under the Consumer Financial Protection Act. Proposed on November 7, the rule targets nonbanks that provide general use digital consumer payment applications with an annual volume of at least 5 million consumer payment transactions. The CFPB...2023-12-1323 minPayments Pros – The Payments Law PodcastThe Future of Payments: Exploring FedNow With the Payments ProfessorIn this episode of Payments Pros, Keith Barnett and Carlin McCrory are joined by Pidgin's Senior Vice President of Innovation Kevin Olsen to discuss faster payments and the FedNow service.Faster payments, such as real-time payments (RTP) and FedNow, are transactions completed in seconds, available 24/7, and restricted to U.S. financial institutions. Since its launch in July 2023, FedNow has seen rapid adoption due to its public nature and industrywide development. Kevin highlights various use cases for FedNow, including person-to-person, account-to-account, and business transactions, as well as potential government and emergency uses.Kevin and the Payments...2023-11-3020 minPayments Pros – The Payments Law PodcastSenators Urge CFPB to Increase Consumer Protection Against Payment App ScamsThis episode of Payments Pros spotlights an episode from The Crypto Exchange, where Kalama Lui-Kwan joins Payments Pros hosts Keith Barnett and Carlin McCrory to discuss consumer protection under Regulation E. They delve into a July 2022 letter from Democratic senators, urging the CFPB to hold banks liable for consumer losses when the consumers provide alleged fraudsters with access to their own accounts through payment apps. Keith and Carlin examine the senators' concerns and the potential significant impact on financial institutions from any changes that the CFPB makes.
2023-11-0919 minPayments Pros – The Payments Law PodcastChronic Payments: Unraveling the Complexities of Cannabis BankingIn the latest episode of Payments Pros, hosts Keith Barnett and Carlin McCrory are joined by Jean Gonnell and Agustin Rodriguez, co-leaders of Troutman Pepper’s Cannabis practice, to discuss the legal complexities that financial institutions face when dealing with the cannabis industry.Jean and Agustin give a high-level overview of the basics of cannabis, including federal and state regulations, and the specific expectations for financial institutions operating in this space. They also explain the rigorous state-level regulatory systems for marijuana, including seed-to-sale tracking, testing requirements, and security measures.Our guests examine the impact of ca...2023-10-2532 minPayments Pros – The Payments Law PodcastUnraveling the Legal Threads: A Deep Dive Into Earned Wage AccessIn the latest episode of Payments Pros, hosts Keith Barnett, Josh McBeain, and Carlin McCrory discuss Earned Wage Access (EWA), a system that allows employees to receive their earned wages before the employer's payroll cycle.Keith, Josh, and Carlin delve into the potentially applicable federal laws related to EWA, starting with the Truth in Lending Act (TILA). They discuss the Consumer Financial Protection Bureau's (CFPB) advisory opinion on EWA products and the confusion it caused in the industry. They also discuss other federal laws that may apply to EWA products, such as the Equal Credit Opportunity Act...2023-10-0523 minPayments Pros – The Payments Law PodcastACH Risk for Payment Processors and ODFIsIn the latest episode of Payments Pros, hosts Carlin McCrory and Keith Barnett are joined by James Rowe and Nanci McKenzie from Affirmative Technologies to discuss Automated Clearing House (ACH) originator risk.Affirmative Technologies is one of the nation's leading technology providers in ACH processing and risk management software. The company provides innovative electronic payment solutions to a wide variety of businesses, including financial institutions, third party payment processors, and business entities that seek an effective enterprise, ACH payment solution.James and Nanci highlight the importance of ACH risk monitoring in the payment processing industry...2023-09-2135 minPayments Pros – The Payments Law PodcastEvaluating Government Sanctions in the Payments IndustryIn this episode of Payments Pros, Keith Barnett welcomes his colleagues Rich Zack and Christy Tuttle to discuss how U.S. government sanction programs impact payment processors, banks, and the payments industry in general.Keith, Rich, and Christy discuss the current atmosphere of sanctions in the payments industry and the recent joint guidance issued to banks by the OCC, the Fed, and FDIC. The guidance instructs banks on the regulators' expectations during bank examinations concerning third-party relationships, including payment processors, card issuers, blockchain, and anyone who has a form of bank partnership. The guidance covers initial due...2023-09-0518 minPayments Pros – The Payments Law PodcastFedNow Is Here!In this episode of Payments Pros, Carlin McCrory welcomes Stout’s Disputes, Compliance, and Investigations Managing Director Terri Sands to discuss the evolvement in payments and the launch of FedNow.Carlin and Terri discuss how FedNow will affect financial institutions, as well how they see businesses and consumers utilizing the service. Additionally, with this new evolvement in the payments space, financial institutions using FedNow need to be cautious of fraud. Terri discusses how Stout is working with their financial institution clients to implement FedNow, developing strategic planning documents for approaching next generation fraud, and getting management buy-in on...2023-08-1721 minThe Crypto ExchangeCrypto As "Funds" Under the EFTA – How a Court's Recent Ruling May Impact Virtual Currency Platform OperatorsIn this episode of The Crypto Exchange, Troutman Pepper Partner Ethan Ostroff welcomes his colleagues Carlin McCrory and Addison Morgan to discuss a recent case in the Southern District of New York that has been in the news, Rider v. Uphold HQ. In Rider, the court concluded that virtual currency platform operators may be subject to the Electronic Fund Transfer Act (EFTA) and Regulation E.The plaintiffs in this class action asserted that Uphold HQ violated the EFTA and Regulation E as the result of an alleged security flaw, which enabled unauthorized actors to access plaintiffs' accounts...2023-08-1019 minPayments Pros – The Payments Law PodcastAnalyzing the Credit Card Competition Act of 2023In this episode of Payments Pros, Josh McBeain welcomes Isaac Boltansky, managing director and director of policy research at BTIG to discuss the proposed Credit Card Competition Act led by Senator Durbin from Illinois.Josh and Isaac discuss the intricacies of the proposed legislation and how it would affect issuers, merchants, and consumers. Additionally, they address some of the skepticism that the bill is receiving from those in the industry and challenges that may come with the legislation.
2023-08-0322 minPayments Pros – The Payments Law PodcastPayments and the Solar IndustryIn this episode of Payments Pros, Josh McBeain welcomes his colleague Andrew Thurmond to discuss residential solar projects as well as the financing and payment options that are available for these types of projects.With renewable energy being a hot topic now, solar providers have multiple payment options to facilitate solar projects, including loans, retail installment contracts, leases, power purchase agreements, and tax credits. Josh and Andrew discuss these options and what to consider before developing solar payment programs for consumers.
2023-07-2727 minThe Consumer Finance PodcastAnnouncing Troutman Pepper’s New Payments Pros Podcast!Please join Troutman Pepper attorneys Chris Willis, Keith Barnett, Carlin McCrory, and Josh McBeain in announcing the Payments Pros Podcast — our new podcast providing insights for those in the payments law industry. This podcast features analysis and commentary from our attorneys and business leaders, regulatory experts, and stakeholders on the most challenging legal and regulatory concerns confronted by companies and others in the payments industry. From the BSA to EFTs, fintech to regtech, licensure to lending, NACHA to the CFPB, and payment processing to debt collecting, we have you covered!
2023-07-1104 minPayments Pros – The Payments Law PodcastCFPB's Larger Participant Rule for Consumer PaymentsIn this episode of Payments Pros, our hosts Keith Barnett, Carlin McCrory, and Josh McBeain join their colleague Chris Willis to discuss the Consumer Financial Protection Bureau's (CFPB) larger participant rule for consumer payments mentioned in its 2023 semiannual rulemaking agenda. During this podcast, they examine a myriad of topics concerning this rule, including the following:The current trend of CFPB supervision and why the CFPB is proposing this larger participant rule;The influence on the substantive law governing some aspects of payments;The implication of CFPB examinations of payments companies for the development of the law or regulatory...2023-07-1121 minThe Consumer Finance PodcastCFPB's Larger Participant Rule for Consumer PaymentsPlease join Troutman Pepper Partner Chris Willis and colleagues Keith Barnett, Carlin McCrory, and Josh McBeain as they discuss the Consumer Financial Protection Bureau's (CFPB) larger participant rule for consumer payments mentioned in its 2023 semi-annual rulemaking agenda. During this podcast, they examine a myriad of topics concerning this rule, including the following:The current trend of CFPB supervision and why the CFPB is proposing this larger participant rule;The influence on the substantive law governing some aspects of payments;The implication of CFPB examinations of payments companies for the development of the law or regulatory expectations related to...2023-07-0620 minPayments Pros – The Payments Law PodcastConvenience Fees: Why You Need to Pay Attention?This edition of Payments Pros spotlights an episode from The Crypto Exchange podcast where Ethan Ostroff sat down with Payments Pros hosts Keith Barnett and Carlin McCrory to discuss recent developments with convenience fees in the payments industry. With both of their practices focusing on payments-related issues, Keith and Carlin take a deep dive into the recent CFPB advisory opinion on convenience fees and how it affects payment processors, money transmitters, and loan servicers. Additionally, they explore how the CFPB's advisory affects card network rules and how the rules mesh with state laws.
2023-06-2718 minPayments Pros – The Payments Law PodcastA Discussion with Nacha on Proposed Rulemaking Regarding FraudTroutman Pepper's Payments Pros podcast offers insights from Troutman Pepper Fintech and Payment practice group attorneys, industry business leaders, and regulatory experts on the most challenging legal and regulatory concerns confronted by participants in the payments industry — including everything from BSA to EFTs, fintech to regtech, licensure to lending, Nacha to the CFPB, and payment processing to debt collecting. Our attorneys, industry experts, and regulatory insiders walk you through the federal and state regulatory, legal, and business intricacies of the highly complex payments industry.In our first episode, Troutman Pepper attorneys Keith Barnett and Carlin McCrory welcome Na...2023-06-0626 minThe Consumer Finance PodcastAutorenewals Crossover Episode with The Crypto ExchangeMost consumers have signed up for subscriptions, automatic deliveries, or free trials that convert into a paid subscription. In this episode of The Crypto Exchange, Carlin McCrory welcomes colleagues Mark Furletti and Jill Dolan to discuss legal and regulatory developments related to autorenewals — the recurring payments for these subscriptions. Our panel examines state and federal laws pertaining to negative option offers, including Section 5 of the FTC Act; recent actions by state attorneys general on autorenewal and cancellation policies; and how companies can ensure compliance with relevant requirements.
2023-03-2327 minThe Crypto ExchangeAutorenewalsMost consumers have signed up for subscriptions, automatic deliveries, or free trials that convert into a paid subscription. In this episode of The Crypto Exchange, Carlin McCrory welcomes colleagues Mark Furletti and Jill Dolan to discuss legal and regulatory developments related to autorenewals — the recurring payments for these subscriptions. Our panel examines state and federal laws pertaining to negative option offers, including Section 5 of the FTC Act; recent actions by state attorneys general on autorenewal and cancellation policies; and how companies can ensure compliance with relevant requirements.
2023-03-2126 minThe Crypto ExchangeCrypto Year in Review 2022: Crypto Enforcement and the U.S. TreasuryIn the fourth and final segment of our four-part Crypto Year in Review series, Ethan Ostroff, Keith Barnett, and Carlin McCrory discuss how the U.S. Treasury Department — including the Office of Foreign Asset Control (OFAC) and Financial Crimes Enforcement Network (FinCEN) bureaus — functions in the digital asset space. Our speakers examine how these financial services regulators seek to deter criminal activity, such as money laundering, financing of terrorist activities, AML/CFT violations, and sanctions compliance in the digital asset space in 2022, and what we can expect in 2023.Be on the lookout for the next episode of The...2023-03-0237 minThe Crypto ExchangeCrypto Year in Review 2022: Federal Reserve and Central Bank Digital Currencies and FDIC/OCC Regulatory DevelopmentsIn the second segment of our four-part Crypto Year in Review series, Rene McNulty, Carlin McCrory, and Ethan Ostroff discuss the Federal Reserve and its research and experimentation on Central Bank Digital Currencies (CBDCs), examining the steps that the Fed took toward potential CBDC implementation. Our panelists also review recent crypto-related regulatory developments at the FDIC and OCC, discussing what these actions can tell us about regulatory trends and priorities.Be on the lookout for our next episode of this podcast series.
2023-02-2322 minThe Crypto ExchangeCrypto Year In Review 2022: CFPB and FTC Enforcement TrendsIn the first of a four-part Crypto Year in Review series, Carlin McCrory, Keith Barnett, and Ethan Ostroff look at how the CFPB and FTC viewed and regulated cryptocurrency in 2022. The panel examines statements by CFPB Director Rohit Chopra and recent CFPB and FTC enforcement actions, identifying likely regulatory trends for 2023 and beyond.
2023-02-0726 minThe Crypto ExchangeEvaluating Fraud Under the Bank Secrecy ActIn this episode of The Crypto Exchange, Troutman Pepper attorney Carlin McCrory welcomes Disputes, Compliance and Investigations Managing Director Terri Sands from Stout to discuss the risks and regulatory scrutiny that financial institutions and fintechs face as to fraud and the Bank Secrecy Act (BSA). In her position, Terri serves as a leader in the payments, BSA/AML, and OFAC/Sanctions and fraud and risk management areas.During the podcast, Carlin and Terri discuss a variety of topics on the BSA, including the biggest fraud risks that financial institutions encounter, as well as what they can do...2023-01-1028 minThe Crypto ExchangeThe CFPB's Focus on Crypto and PaymentsIn 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 consumer protection issues, true lender matters, actions against repeat offenders, as well as P2P platforms and the CFPB’s stance on fees. Keith and Carlin also discuss a recent report released by the CFPB, The Convergence of Payments and Commerce: Implications for Consumers, that examines the challenges in new product categories and risks to consumers inherent in the evolving payment ecosystem.
2022-10-1221 minThe Crypto ExchangeSenators Urge CFPB to Increase Consumer Protection Against Payment App ScamsIn 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 from democratic senators, urging the CFPB to hold banks liable for consumer losses when the consumers provide alleged fraudsters with access to their own accounts through payment apps. Keith and Carlin examine the senators’ concerns, as well as how any potential changes that the CFPB makes could impact financial institutions significantly.
2022-08-2318 minThe Consumer Finance PodcastConsumer Protection and Safety and Soundness Perspective of Credit Union RegulationPlease join Consumer Financial Services Partner Chris Willis and his guests and colleagues James Stevens and Carlin McCrory as they discuss the consumer protection and safety and soundness sides of credit union regulation. The discussion includes topics on the National Credit Union Administration's 2022 consumer protection priorities, loan participations, the 2023 CECL implementation, and the regulatory impact of a recession on consumer loan portfolios held by credit unions.Troutman Pepper Corporate Partner and Financial Services Group co-leader James Stevens advises clients on corporate and regulatory matters. He has substantial experience in representing public and private companies, including banks, neobanks...2022-08-1115 minThe Crypto ExchangeA Conversation with Third Party Payment Processors Association President Marsha JonesIn 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 to update federal anti-money laundering laws to include payment processors within the definition of “financial institution.” The ENABLERS Act is co-sponsored by Representatives Joe Wilson (R-SC), Tom Malinowski (D-NJ), Maria Elvira Salazar (R-FL), Steve Cohen (D-TN), Abigail Spanberger (D-VA), and Richard Hudson (R-NC). Keith, Carlin, and Marsha discuss the significant ramifications that the ENABLERS Act will have on payments processors if it is passed. This is a...2022-08-0920 minThe Crypto ExchangeCrypto and Beyond: California DFPI Opinions on Money Transmission and the Money Transmission ActIn 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 transmission and the Money Transmission Act and how they impact stakeholders in the digital asset and payment spaces.Keith and Carlin are both regulatory, compliance, and payments attorneys with experience representing financial institutions, fintechs, lenders, debt collectors, payment processors, neobanks, and virtual currency companies. They also advise cryptocurrency exchanges and NFT platforms on state and federal money transmission law compliance and regulatory issues, and represent...2022-07-2113 minThe Crypto ExchangeConvenience Fees: Why You Need to Pay Attention?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 the payments industry. With both of their practices focusing on payments-related issues, Keith and Carlin take a deep dive into the recent CFPB advisory opinion on convenience fees and how it affects payment processors, money transmitters, and loan servicers. Additionally, they explore how the CFPB's advisory affects card network rules and how the rules mesh with state laws.
2022-07-2117 min