The New Prepaid Rule Will Affect Checking Accounts

Consumer Financial Protection Bureau has made checkless checking more competitive.

The CFPB’s final prepaid rule has increased operational complexities for prepaid cards. At the same time, its refusal to define prepaid products by account structure means that checkless checking providers will need to be careful with their marketing. Demand deposit accounts may become a more attractive option for institutions that want to reach unbanked consumers.