Page 16 - Pay Magazine

companies & people
Industry Views: Juggling Act
2The new Trump administration is promising a regulatory rollback. What are your expectations in terms of how those efforts might affect your—or your clients’—bottom line?
As with seemingly every- thing else, there’s a lot
of uncertainty with respect to the impact of a Trump administration on con- sumer nancial services. Long term, consumer nancial services providers can expect fewer federal regulations and, poten- tially, a friendlier rela- tionship with federal
regulators. However, the Trump administration’s short-term impact may be slight, as rolling back initiatives such as the CFPB’s prepaid accounts rule would be di cult and, at this point, seems unlikely. Moreover, providers have invested heavily in order to comply with a host of new rules, and rolling back those rules could therefore actually prove costly
to providers. One interesting area to watch Trump’s impact will be on the state level. If consumer ad- vocates and state regulators perceive a weakening in the power or e orts of agencies like the CFPB,
it likely will spur them to increase their own regula- tory activities.
—Eli A. Rosenberg,
associate, Baird Holm LLP
Although we believe the new Trump administra-
tion is likely to achieve regulatory rollback in some areas, we don’t believe those rollbacks will be swift or a ect our bottom line in 2017. We already have invested heavily in regulatory compliance and in- creased our compliance sta and infrastructure in preparation for the enhanced requirements. Our company is preparing for the CFPB nal rule on prepaid accounts as it’s written today, while examin- ing enhanced options for our customer experience and value that can pave the way for further modern- ization and longer-term adoption for our clients.
—Chris Schattin,
senior vice president, sales and marketing, FirstView Financial
With the uncertainty
around the White House’s ability to curtail the activities of the CFPB, we remain “business as usual” and are committed to our plan for compliance with the nal prepaid accounts rule by
its e ective date. While we are skeptical of a rollback, we’re optimistic about a slowdown in new reg-
ulatory requirements (at least at the federal level). If we can hold the line on new rules, we’re hopeful that our ongoing compliance costs will begin
to plateau.
—Trent Sorbe,
president, Central Payments, a Division of Central Bank of Kansas City
After the recent nancial crisis, new legislation— such as the Dodd-Frank Act and the creation of new regulatory bodies, such as the CFPB— impacted the banking industry, which is CPI Card Group’s customers. If the new administration rolls back these regula- tions, our customers may
have more resources to invest in new card-issuing programs and new payments technology, which would be mutually bene cial to our customers and to CPI.
—Troy Bernard,
director, strategic marketing and products, CPI Card Group
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