Four Months after Deadline, Prepaid Companies Have Yet to Say Who’s on the Hook

By Brian Monroe

Disputes and confusion over which companies will be responsible for anti-money laundering rules on stored value products has delayed federal registration and oversight of the sector, say industry representatives. Last year, the U.S. Treasury Department's Financial Crimes Enforcement Network (FinCEN) ordered financial institutions, retailers and others cooperating on cards to determine which entity would register with the bureau by March 2012 as a "provider of prepaid access." The provider would be responsible for compliance rules finalized by FinCEN in July 2011. But more than four months after the rule's compliance deadline, many of the various financial institutions that work together...