Developments in Credit Card Practices and Related Actions by the OCC to Protect Consumers

摘要

Strong competition, rapid innovation, and efforts to reach an ever-broader customer base have spurred the credit card industry to develop and employ new credit products, marketing strategies, and account management practices. Although some innovations can lead to more competitive pricing and better customer service, others can raise consumer protection concerns—concerns that may not be addressed directly by Regulation Z or other existing systems of specific rules. The FTC Act is broad enough to encompass an additional range of consumer protection concerns, and the OCC uses this law to respond to situations in which innovations and developments in loan products and marketing practices "cross over the line" into unfair or deceptive credit practices. Another range of credit card practices exist that may not be covered by the particular requirements of Regulation Z and may not be easily established as violations of the FTC Act. The OCC has sought to highlight these practices through a combination of preventive guidance to national banks and, in appropriate circumstances, supervisory responses involving particular national banks. Both the OCC's industry guidance and its enforcement actions help to protect consumers and provide direction to credit card issuers on how to avoid customer confusion and potential consumer abuse, and the corresponding compliance, reputation, and other risks.