BBVA Compass has launched a new informational website for businesses to help them prepare for denial of point-of-sale transactions due to the upcoming amendment to Regulation E.
BBVA Compass said that the website contains a downloadable flyer which explains the recent regulatory changes and the impact of debit card and ATM transactions. The bank is also hoping to help businesses mitigate any potential disruptions in cash flow stemming from increased point-of-sale transaction denials.
Shelaghmichael Brown, senior executive vice president and head of retail banking at BBVA Compass, said: “After the August 15 automatic opt out date, many consumers who did not realize that changes have been made to their standard overdraft protection will have transactions denied at the point of sale, potentially interrupting that cash flow to the business.
“Until all consumers become knowledgeable about how their standard overdraft protection has changed, businesses need to be prepped and ready to respond to these disruptions quickly and effectively.”
Rick Claypoole, senior vice president and head of consumer deposit products at BBVA Compass, said: “No matter how much consumer education banks are conducting on this new choice to opt in or opt out of standard overdraft practices, it is likely some consumers will still be unaware of the automatic opt out date of August 15.
“As a result businesses of all sizes will be affected in some way, particularly given that August 15 is a Sunday and that weekend is typically big for back-to-school shopping. As a financial institution that holds itself accountable to both our customers and our business partners, we consider it part of our responsibility to educate businesses and customers alike about these upcoming changes.”
BBVA Compass is a subsidiary of Compass Bancshares, a wholly owned subsidiary of BBVA.