Business Check Card Regs

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Question:

We are looking into offering a business check card (debit card for business). What info can you offer on what regs govern this type of product?

Answer:

First, what won't apply: Regulation E. But make it clear to the cardholder that Reg E protections don't apply. And make it clear to your staff, lest they spin their wheels unnecessarily on an error claim on one of these cards.

What will apply? Reg. CC will apply to availability of funds for these cardholders. Visa or MasterCard rules applicable to business check cards will also apply.

First published on BankersOnline.com 9/15/03