Source: https://www.law.cornell.edu/cfr/text/12/part-235/appendix-A
Timestamp: 2016-07-23 17:20:38
Document Index: 12006100

Matched Legal Cases: ['art 235', 'art 235', 'art 235', 'art 235', 'art 235', 'art 235', '§ 235', '§ 235', '§ 235', '§ 235', '§ 235', '§ 235']

12 CFR Part 235, Appendix A to Part 235 - Official Board Commentary on Regulation II | US Law | LII / Legal Information Institute
CFR › Title 12 › Chapter II › Subchapter A › Part 235 › Appendix A 12 CFR Part 235, Appendix A to Part 235 - Official Board Commentary on Regulation II
There is 1 Update appearing in the Federal Register for 12 CFR Part 235. View below or at eCFR (GPOAccess)
Pt. 235, App. A
Section 235.2Definitions
1. In general. The term “acquirer” includes only the institution that contracts, directly or indirectly, with a merchant to provide settlement for the merchant's electronic debit transactions over a payment card network (referred to as acquiring the merchant's electronic debit transactions). In some acquiring relationships, an institution provides processing services to the merchant and is a licensed member of the payment card network, but does not settle the transactions with the merchant (by crediting the merchant's account) or with the issuer. These institutions are not “acquirers” because they do not provide credit to the merchant for the transactions or settle the merchant's transactions with the issuer. These institutions are considered processors and in some circumstances may be considered payment card networks for purposes of this part (See§§ 235.2(m), 235.2(o), and commentary thereto).
Section 235.3Reasonable and Proportional Interchange Transaction Fees
i. Practices to help determine whether a card is authentic and whether the user is authorized to use the card at the time of a transaction. For example, an issuer may specify the use of particular authentication technologies or methods, such as dynamic data, to better authenticate a card and cardholder at the time of the transaction, to the extent doing so does not inhibit the ability of a merchant to direct the routing of electronic debit transactions for processing over any payment card network that may process such transactions. (See§ 235.7 and commentary thereto.)
2. An issuer should review its policies and procedures and their implementation more frequently than annually if the issuer determines that more frequent review is appropriate based on information obtained from monitoring its fraudulent electronic debit transactions, changes in the types or methods of fraud, or available methods of detecting and preventing fraudulent electronic debit transactions. (See§ 235.4(b)(1)(ii) and commentary thereto.)
Section 235.5Exemptions for Certain Electronic Debit Transactions
2. Change in status. If an exempt issuer becomes covered based on its and its affiliates assets at the end of a calendar year, that issuer must begin complying with the interchange fee standards (§ 235.3), the fraud-prevention adjustment standards (to the extent the issuer wishes to receive a fraud-prevention adjustment) (§ 235.4), and the provisions prohibiting circumvention, evasion, and net compensation (§ 235.6) no later than July 1.
Section 235.6Prohibition on Circumvention, Evasion, and Net Compensation
Section 235.7Limitations on Payment Card Restrictions
1. Scope of restriction.Section 235.7(a) requires a debit card subject to the regulation to be enabled on at least two unaffiliated payment card networks. This paragraph does not, however, require an issuer to have two or more unaffiliated networks available for each method of cardholder authentication. For example, it is sufficient for an issuer to issue a debit card that operates on one signature-based card network and on one PIN-based card network, as long as the two card networks are not affiliated. Alternatively, an issuer may issue a debit card that is accepted on two unaffiliated signature-based card networks or on two unaffiliated PIN-based card networks. See also, comment 7(a)-7.
Section 235.8Reporting Requirements and Record Retention
Section 235.9Administrative Enforcement
Section 235.10Effective and Compliance Dates
Title 12 published on 2015-01-01.The following are only the Rules published in the Federal Register after the published date of Title 12.For a complete list of all Rules, Proposed Rules, and Notices view the Rulemaking tab.2015-08-14; vol. 80 # 157 - Friday, August 14, 201580 FR 48684 - Debit Card Interchange Fees and Routing