tailieunhanh - Marketing of Credit Card Add-on Products CFPB Bulletin 2012-06

debt protection, identity theft protection, credit score tracking, and other products that are supplementary to the credit provided by the card itself. This bulletin outlines the Consumer Financial Protection Bureau’s (“CFPB” or “the Bureau”) expectation that institutions under its supervision and their service providers offer such products in compliance with Federal consumer financial law. The CFPB will take all necessary steps to ensure that consumers are protected from deceptive sales and marketing practices, including those resulting from failures to adequately disclose important product terms and conditions, or other violations of Federal consumer financial CFPB supervisory experience indicates that some credit. | 1 700 G Street NW Washington DC 20552 CFPB Bulletin 2012-06 Date July 18 2012 Subject Marketing of Credit Card Add-on Products A. Background Credit card issuers market various add-on products to card users including debt protection identity theft protection credit score tracking and other products that are supplementary to the credit provided by the card itself. This bulletin outlines the Consumer Financial Protection Bureau s CFPB or the Bureau expectation that institutions under its supervision and their service providers offer such products in compliance with Federal consumer financial law. The CFPB will take all necessary steps to ensure that consumers are protected from deceptive sales and marketing practices including those resulting from failures to adequately disclose important product terms and conditions or other violations of Federal consumer financial CFPB supervisory experience indicates that some credit card issuers have employed deceptive promotional practices when marketing the products including failing to adequately disclose important product terms and conditions. In addition some consumers have been enrolled in programs without their affirmative consent or without realizing that they have been enrolled or are required to pay for the programs. Others have been billed for services that were not performed or activated. Consumer complaints received by the CFPB also indicate that consumers have been misled by the marketing and sales practices associated with credit card add-on products. 1 Although this bulletin focuses on credit card add- on products institutions should take the guidance that it provides into consideration when they offer similar products in connection with other forms of credit or deposit services. B. Applicable Consumer Protections Institutions that engage in the practices described above risk violating Federal consumer financial laws including their implementing regulations. Such laws and regulations .