The CFPB Says EWA is Credit

IPA Payments Pod

Workers may have a harder time getting access to money when they need it, if a new interpretive rule from the Consumer Financial Protection Bureau goes into effect.

The Bureau released an interpretive rule on Thursday that classifies all earned wage access products as credit and therefore subject to certain disclosures and underwriting rules.

I’m Ben Jackson and in this episode, I talk with Brian Tate, the IPA’s CEO, about what the proposed rule and what it might mean for the industry and workers.

This podcast was recorded on July 18, 2024. Things may have changed by the time you hear it.

You can find the text of the interpretive rule here: Consumer Credit Offered to Borrowers in Advance of Expected Receipt of Compensation for Work | Consumer Financial Protection Bureau (consumerfinance.gov)