See the press release below from state Rep. Bob Rita and Sen. Emil Jones III on the governor signing yesterday SB 1829 they sponsored to provide reform and consumer protections on prepaid debit cards. Let me know if you’d want to connect with Bob or have questions.
FOR IMMEDIATE RELEASE
Rep. Rita, Sen. Jones Make Successful Push for Prepaid Debit Card Reform
Lawmakers Proud as Gov. Quinn Signs Bill to Protect Consumers from Fraud, Promote Card Use
Date: Aug. 27, 2013 Contact: Ryan Keith, 217-737-7369
BLUE ISLAND – State Rep. Bob Rita and State Sen. Emil Jones today announced an important step in protecting consumers on reloadable prepaid debit cards after Gov. Pat Quinn signed their reform legislation into law.
Rita, D-Blue Island, and Jones, D-Chicago, worked together this spring to win support in the Illinois House and Senate for Senate Bill 1829, which became law today with the governor’s signature. The legislators worked with the industry to protect consumers, particularly the “unbanked” who have a great need for prepaid debit cards. Gov. Quinn signed the bill into law on Monday.
The bill requires that certain disclosures be made when reloadable prepaid cards are offered to customers, making sure customers know how to maximize their own convenience at minimal cost. The disclosures must be clear and conspicuous, and provided to customers in either writing or electronically. The required disclosures to the customer, which must be displayed on card packaging along with a toll-free number for inquiries, include the fee for purchasing the card, any monthly maintenance fees, the cost of withdrawing cash from an ATM and if there are any balance inquiry fees.
Many people are using reloadable prepaid debit cards as society moves to more electronic payments. They have become critical for those who do not have access to a bank account, as they allow wages to be deposited electronically and to pay expenses such as online shopping or telephone bill paying.
“Our challenge as legislators is to make sure we’re in tune with our constituents, and having a system that protects them as more use these prepaid debit cards is so important,” Rita said. “I was proud to work with Sen. Jones to provide our constituents these protections and ensure they have access to these cards that help them every day. We will be watching closely to make sure this law is doing its job.”
“I hope this new law helps ease doubts out there about prepaid debit cards and shows consumers we’re serious in Springfield about working for them,” Jones said. “I appreciate the support of Rep. Rita and my colleagues to stand up for those who need help here and make sure they know how to best use these cards to meet their needs.”