3. De minimis exception. The private label credit card exception under section 1026.58(c)(6) differs from the de minimis exception under section 1026.58(c)(5). The private label credit card exception exempts card issuers from submitting certain agreements to the office, regardless of the total size of the card issuer, as measured by the total number of accounts opened. In contrast, the de minimis exception exempts a particular card issuer from submitting credit card contracts to the bureau if the card issuer has fewer than 10,000 accounts open in total. For example, a card issuer offers two credit card contracts to the public. Agreement A is offered exclusively for private label credit card accounts with credit cards that can only be used at Merchant A. The card issuer has 5,000 credit card accounts opened with such credit cards that can only be used at Merchant A. Agreement B is offered exclusively for credit card accounts with cards that can be used with multiple unaffiliated merchants participating in an extensive payment network. The card issuer has 40,000 credit card accounts opened with such payment network cards. The Card Issuer is not required to submit Agreement A to the Bureau under section 1026.58(c)(1) as Agreement A is eligible for the private label credit card exemption under paragraph 1026.58(c)(6).
Agreement A is available for accounts under a private label credit card plan with fewer than 10,000 open accounts (i.e., the 5,000 accounts with credit cards that can only be used at Merchant A) and is not otherwise available to the public. The card issuer is required to submit Agreement B to the Board of Directors in accordance with § 1026.58(c)(1). The card issuer is not eligible for the de minimis exemption under § 1026.58(c)(5) because it has more than 10,000 accounts open, and Agreement B does not qualify for the private label credit card exception under § 1026.58(c)(6) because it is not offered exclusively for accounts under a private label credit card plan with less than 10 000 accounts opened. (ii) If the card issuer publishes an agreement on its website or makes an agreement available electronically to a cardholder in accordance with paragraph 1026.58(e), the agreement may be published or made available in any electronic format that is readily available to the general public and must be placed in a conspicuous place that is easily accessible to the cardholder. (iii) If a card issuer that was not previously eligible for the de minimis exception is eligible for the de minimis exception, the card issuer shall continue to submit quarterly submissions to the Office until the issuer informs the Office that the issuer withdraws any agreement it has previously submitted to the Office. In the past, some credit card companies have used vague or confusing language to conceal the true cost and conditions of their credit cards. As a result, some courts have ruled in favor of consumers who claim that their credit card provider made false or misleading statements when advertising their cards. Thanks to consumer protection laws such as TILA, credit card customers today enjoy relatively high standards of disclosure and transparency. Nevertheless, reading the cardholder`s agreement remains an important practice. (1) Agreement. For the purposes of this Section, “Agreement” or “Credit Card Agreement” means the written document(s) proving the terms of the legal obligation or anticipated legal obligation between a card issuer and a consumer for a credit card account under an open (unsecured at home) consumer credit plan. “Agreement” or “Credit Card Agreement” also includes pricing information as defined in Section 1026.58(b)(7).
3. Transmitters without interactive websites. Section 1026.58(e)(2) provides that a card issuer that does not maintain a website from which cardholders can access certain information about their individual accounts is not required to provide a cardholder with the opportunity to request a copy of the agreement on the card issuer`s website. A card issuer without a website of any kind could do this by including the phone number in each periodic statement; A card issuer with a non-interactive website could comply with the requirements in the same way or meet the requirements by posting the phone number on the card issuer`s website. An issuer is deemed to maintain an interactive website within the meaning of special regime § 1026.58(e)(2) if it provides cardholders with access to specific information about their individual accounts, such as. B balance information or copies of account statements, via an interactive third-party website. Such a website is deemed to be maintained by the issuer within the meaning of section 1026.58(e)(2), even if, for example, a non-affiliate designs the website and the IT infrastructure that supports, owns and maintains the website, credit card holders of multiple issuers may access individual account information through the same website. and the Website is not marked, marked or otherwise made available to the public as the property of the Issuer. An issuer that grants cardholders access to specific information about their individual accounts through such a website is not permitted to comply with the special provision of § 1026.58(e)(2). Instead, such an issuer must comply with § 1026.58(e)(1).
(g) Temporary suspension of the obligation to submit agreements — (3) Quarterly submission of a complete and updated set of agreements. Paragraph 1026.58(c)(1) allows a card issuer to submit to the Bureau, on a quarterly basis, a complete and updated set of credit card agreements that the card issuer offers to the public. For example, a card issuer will offer agreements A, B and C to the public from 31 March. The card issuer shall submit each of these agreements to the Presidium no later than April 30 in accordance with § 1026.58(c)(1). On May 15, the card issuer amends Agreement A, but makes no changes to Agreements B or C. As of June 30, the card issuer will continue to offer the public amended Agreements A and B and C. By the next quarterly submission deadline, July 31, the card issuer must submit the entire amended Agreement A and is not required to submit a bid in respect of Agreements B and C. The Card Issuer may: (i) submit the entire amended Agreement A and not submit any bids in respect of Agreements B and C; or (ii) submit the entire amended Agreement A and resubmit Agreements B and C. A card issuer may elect to resubmit to the Agency any agreement it has offered to the public from a certain quarterly submission deadline, even if it has not introduced new agreements or amended agreements since its last submission and continues to offer all previously submitted agreements.
6. Multiple agreements used for a private label credit card package. The private label credit card exception also applies if a card issuer offers more than one agreement related to a particular private label credit card plan. For example, a card issuer has 5,000 private label credit card accounts opened with credit cards that can only be used at Merchant A. The card issuer offers three different agreements to the public, each of which can be used in conjunction with private label credit card accounts with credit cards that can only be used at Merchant A. Contracts are not available for other types of credit card accounts. The card issuer is not required to submit any of the three agreements to the Agency under paragraph 1026.58(c)(1) because each of the agreements will be used for a private label credit card plan that has fewer than 10,000 accounts open, and none of the three will be available to the public, except for accounts under such a regime. Federal law requires all credit card issuers with more than 10,000 credit card accounts to register a copy of their credit card agreements online. Your credit card issuer must also provide you with a copy of your account`s credit card agreement when you request it. 2.
Resumption of the presentation of credit card contracts at the office. As of the presentation due on or after the first business day on or after April 30, 2016, card issuers must resume the quarterly submission of credit card contracts to the Bureau in accordance with paragraph 1026.58(c). A card issuer must submit agreements for the preceding calendar quarter (i.e., the calendar quarter ending March 31, 2016) in accordance with section 1026.58(c)(1)(ii) to (iv) and (c)(3) to (7) no later than the first business day on or after April 30, 2016. (i) identification information about the card issuer and the agreements submitted, including the name, address and identification number of the issuer (e.g. B, an RSSD identification number or a tax identification number); I. Correction of typographical errors that do not affect the meaning of the terms of the agreement. .