UDAAP Issues and Managing and Maintaining Oversightof Third Parties Who Market and Sell Prepaid Cards

October 7, 2014 8:00am


Christina Hunt-Fuhr
Chief Compliance Officer
Green Dot Corporation

John Hagy
Chief Legal Officer

Barton Bright
FVP and Senior Counsel
SunTrust Bank

Kristina M. Schaefer
General Counsel
Fishback Financial Corporation

  • Growing “abusive” doctrine through case law
  • Actions involving vulnerable consumer segments: Students; Service members; various categories of consumers
  • Actions involving novel theories or aggressive legal theories
  • Managing UDAAP Risk in the prepaid marketplace:
  • Risk allocation through contract; Implementing a certifi cation or attestation requirement; Practical strategies for collaboratively managing UDAAP risk; Monitoring for UDAAP risk
  • How are regulators responding to third parties who engage in UDAAP?: Public policy underpinnings; Enforcement trends; What are the fi nes and penalties?
  • Fee structures and related disclosures
  • Potentially deceptive sales and marketing practices: Loyalty, identify theft protection, credit life, credit disability and other add-ons; Beyond fees and marketing – emerging trends in UDAAP risk; Implementing a UDAAP Risk Management program; Practical considerations for all players in the value chain
  • Agent Location visits
  • Third party payment processor considerations
  • Reviewing the recent ITT case and how it affects issues related to deceptive marketing and student loans
  • Target data breach caused by hackers breaching data at point of sale where information was processed by third parties
  • Oversight of third party payment processors: Due diligence