Violation Tracker Individual Record
: October 19, 2021
: consumer-protection-related offenses
: consumer protection violation
: The Consumer Financial Protection Bureau took action against the prison financial services company JPay for violating the Consumer Financial Protection Act (CFPA) by charging consumers fees to access their own money on prepaid debit cards that consumers were forced to use. JPay also violated the Electronic Fund Transfer Act (EFTA) when it required consumers to sign up for a JPay debit card as a condition of receiving government benefits ÃƒÆ’Ã…Â½ÃƒÂ¢Ã¢â€šÂ¬Ã…â€œÃƒÆ’Ã†â€™Ãƒâ€šÃ‚Â²Ãƒâ€šÃ‚Â¼ÃƒÆ’Ã‚Â¢ÃƒÂ¢Ã¢â€šÂ¬Ã‚ÂÃƒâ€¦Ã¢â‚¬Å“ÃƒÆ’Ã‚Â¢ÃƒÂ¢Ã¢â€šÂ¬Ã‚ÂÃƒâ€šÃ‚Â¤ÃƒÆ’Ã…Â½ÃƒÂ¢Ã¢â€šÂ¬Ã…â€œÃƒÆ’Ã†â€™Ãƒâ€šÃ‚Â¶Ãƒâ€šÃ‚Â£ÃƒÆ’Ã‚Â¢ÃƒÂ¢Ã¢â€šÂ¬Ã‚ÂÃƒâ€¦Ã¢â‚¬Å“Ãƒâ€šÃ‚ÂºÃƒÆ’Ã…Â½ÃƒÂ¢Ã¢â€šÂ¬Ã…â€œÃƒÆ’Ã†â€™Ãƒâ€šÃ‚Â¶Ãƒâ€šÃ‚Â£ÃƒÆ’Ã…Â½ÃƒÂ¢Ã¢â€šÂ¬Ã…â€œÃƒÆ’Ã†â€™Ãƒâ€šÃ‚Â¶ÃƒÆ’Ã†â€™Ãƒâ€šÃ‚Â± in particular, gate money, which is money provided under state law to help people meet their essential needs as they are released from incarceration. The consent order severely limits the fees JPay can charge on release cards going forward, allowing only inactivity fees after 90 days without card activity. The order also requires the company to pay $4 million for consumer redress and a $2 million civil money penalty.
Level of Government
: agency action
: Consumer Financial Protection Bureau
Civil or Criminal Case
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Current parent company note
: Parent-subsidiary relationship is current as of the most recent revision listed in the Update Log