i. Under A§ 1026.4(b)(11)(ii), regarding a covered split credit score rating element and a valuable asset ability of a prepaid profile which happen to be both obtainable by a hybrid prepaid-credit cards as explained A§ 1026.61, any charge or charge implemented from the asset feature of prepaid membership was a funds fee towards extent that the amount of the cost or charge exceeds equivalent charges or expenses imposed on prepaid accounts in identical prepaid profile program that do not has a covered split credit element obtainable by a hybrid prepaid-credit cards. This remark provides advice with regards to comparable charges under A§ 1026.4(b)(11)(ii) when it comes to two types of credit score rating extensions on a covered split credit score rating element. 61(a)(2)(i)(B) and review 61(a)(2)a€“4.ii. ii supplies assistance for credit extensions the spot where the hybrid prepaid-credit credit accesses credit score rating through the covered split credit function in the course of authorizing, settling, or otherwise finishing a transaction executed with all the cards to obtain products or service, acquire profit, or run person-to-person exchanges. iii supplies guidance for credit extensions where a consumer draws or exchanges credit from the sealed split credit score rating function outside of the length of a transaction executed together with the card to have merchandise or service, obtain cash, or behavior person-to-person exchanges.
ii. Per exchange fees for a deal that’s performed to weight or draw funds into a prepaid membership from some other resource are not similar for purposes of A§ 1026.4(b)(11)(ii). To express:
A. think a prepaid levels issuer charges $0.50 on prepaid records without a covered split credit feature each transaction that accesses funds inside the resource function associated with the prepaid records. Furthermore, think that the prepaid account issuer charges $0.50 per deal from the resource feature of prepaid accounts in identical prepaid system where hybrid prepaid-credit credit accesses credit score rating from a covered separate credit score rating function for the duration of a transaction. In this case, the $0.50 per purchase fee implemented about house element with the prepaid account with a covered separate credit score rating feature is not a finance fee.
B. presume exact same information as with section an above, with the exception that believe the prepaid levels issuer charges $1.25 on investment feature of a prepaid account for each deal in which the crossbreed prepaid-credit credit accesses credit from covered split credit element for the duration of the transaction. In such a case, the extra $0.75 is actually a finance fee.
C. Assume a prepaid profile issuer charges $0.50 on prepaid reports without a sealed separate credit function each deal that accesses resources for the investment feature of prepaid accounts. Assume furthermore the prepaid profile issuer charges both a $0.50 per exchange fee and a $1.25 transfer fee from the advantage element of prepaid reports in identical prepaid system where the crossbreed prepaid-credit cards accesses credit from a covered split credit score rating function in the course of a transaction. e., a combined charge of $1.75 per exchange) must be set alongside the $0.50 per exchange charge to access funds for the advantage element from the prepaid profile without a covered split credit ability. Appropriately, the $1.25 surplus is a finance charge.
D. Assume same basic facts as with section C above, except that assume the prepaid profile issuer additionally charges lots cost of $1.25 whenever funds tend to be transported or packed from an independent resource profile, such as from a deposit account via a debit card, for the duration of a transaction on prepaid accounts without a sealed individual credit score rating element, besides charging you a $0.50 per transaction fee. The $1.25 extra in section C continues to be a finance cost because burden or transfer charge that are charged in the house ability of prepaid be the cause of credit from sealed individual credit element are contrasted only to per transaction costs imposed for opening funds inside house function associated with the prepaid make up prepaid profile without this type of a credit ability. https://1hrtitleloans.com/title-loans-ut/ Per transaction charges for a transaction this is certainly carried out to load or draw funds into a prepaid levels from several other source aren’t comparable for purposes of A§ 1026.4(b)(11)(ii).