August 24, 2014

Webcast: CUs learn credit card advertising requirements

Attorney Steve Van Beek guided viewers through the credit card advertising requirements of Regulation Z Wednesday during NAFCU's webcast, "Credit Card Advertising: Dotting the I's & Crossing the T's."

Van Beek, now with Howard & Howard PLLC, is NAFCU's former vice president of regulatory compliance. In yesterday's webcast, he focused on the obstacles credit unions face in satisfying Reg Z's advertising requirements, which are complex, and how credit unions can help ensure their ads do not run afoul of rules against unfair or deceptive acts and practices (UDAP).

To help mitigate these frustrations, Van Beek said, "My recommendation is to have multiple checklists for your advertising products. That allows you to have a formal process in place."

Van Beek discussed what "trigger terms" in an advertisement raise the need for additional disclosures. He said the term most often used when advertising for credit cards is the annual percentage rate, or APR. He also discussed advertising introductory and promotional rates and best practices for balance transfer options.

The webcast, "Credit Card Advertising: Dotting the I's & Crossing the T's," will remain available for one year past the broadcast date.