Is the CFPB constitutional? Is its prepaid rule constitutional? These are questions in front of the courts right now. Two lawsuits have called into question both the structure of the CFPB and the validity of its prepaid accounts rule. The outcome of these two cases could determine who is subject to the prepaid rule and even whether the Bureau should exist in its current form.

On the state level, a lawsuit over payroll card rules is making its way through the New York State courts. It could determine whether or not the Department of Labor can regulate financial products.

In this episode, the Innovative Payments Association’s CEO, Brian Tate, and Government Relations Director, Grant Hannah, talk about these lawsuits and what their effects might be. We also talk about the long-term effects of these lawsuits in the context of the possible outcomes of the 2020 elections.

The IPA will keep its members updated on developments in these suits through its regular government relations calls.

If you want to stay on top of new developments in the industry, plan to attend the Innovative Payments Conference in Washington DC, April 6-8. Learn more and register at: https://www.americanbanker.com/conference/innovative-payments

Interested in becoming an IPA member and helping to shape the future of payments? Reach out today and talk to us about the benefits of joining. Go to www.ipa.org to learn more.

Cyber criminals have an advantage over the companies and people they target because they are better at working together than the financial services industry.

Hackers use online forums to trade trips and tricks, and even sell software to one another in online forums. They help one another exploit weaknesses in the defenses of financial services providers.

Although the industry is lagging behind the crooks, organizations like the IPA and the Payments Risk Fraud Consortium are working to bring industry experts and investigators together to push back the hackers,

In the latest episode of the IPA Payments Pod, Andrea Valentin, the secretary of the Payments Risk Fraud Consortium talks about the power of collaboration and how to build a culture that helps the financial industry keep up with the hackers.

This episode is an edited version of a webinar presented to IPA members. Members can access the full recording and associated slides in the members’ only section of the Web site.

You can learn more about the Payments Risk and Fraud Consortium at their Web site: https://www.fraudconsortium.org/

If you want to stay on top of new developments in the industry, plan to attend the Innovative Payments Conference in Washington DC, April 6-8. Learn more and register at: https://www.americanbanker.com/conference/innovative-payments

Interested in becoming an IPA member and helping to shape the future of payments? Reach out today and talk to us about the benefits of joining. Go to www.ipa.org to learn more.

Everyone likes to believe that they are rational, especially when it comes to money. But people often make irrational choices, despite what economists would have us believe.

While irrationality might seem like a bad thing, it can be harnessed to help people achieve their goals. By understanding human foibles, financial services providers can design products that will direct that behavior down positive paths. Both individual customers and the provider’s bottom line can benefit from recognizing that even seemingly bad behavior can be turned towards good outcomes.

In the latest episode of our podcast, we talk with Kristen Berman, the co-founder of Irrational Labs, and Brad Swain of the Common Cents Lab at Duke University, about what their research shows when it comes to money management and what that can mean for product design.

For example, people of all kinds will often say they want to achieve a goal but do things that are counter to that goal just because something else is easier. Leveraging the path of least resistance preference can turn into more savings for customers and less risk for providers.

Our guests talk about why encouraging borrowers to pay off their loans early might be a win-win for lenders and borrowers. They also talk about how financial can build good behaviors into the onboarding process for accounts and loans.

You can listen to our podcast on iTunes, Google Play, or your favorite podcast app. Please subscribe and leave us a review.

If you want to learn more about our guests’ research, you can visit the Irrational Labs Web site at

https://irrationallabs.org/

and the Common Cents Lab web Site at

https://advanced-hindsight.com/commoncents-lab/

If you want to stay on top of new developments in the industry, plan to attend the Innovative Payments Conference in Washington DC, April 6-8. Learn more and register at: https://www.americanbanker.com/conference/innovative-payments

Interested in becoming an IPA member and helping to shape the future of payments? Reach out today and talk to us about the benefits of joining. Go to www.ipa.org to learn more.