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FRS RIN: 7100-AD47 Publication ID: Spring 2011 
Title: Regulation E-Electronic Funds Transfers (Docket No. R-1377) 
Abstract: The Federal Reserve Board (Board) published in the Federal Register on April 1, 2010, final regulations to implement the gift card provisions in title IV of the Credit Card Accountability Responsibility and Disclosure Act of 2009 (Credit Card Act), which amends the Electronic Fund Transfer Act. Consistent with the statute, the final regulation prohibits any person from imposing dormancy, inactivity, or service fees with respect to gift certificates, store gift cards, and general-use prepaid cards, unless certain conditions are satisfied. These conditions are that: (1) There must be at least a one-year period of inactivity with respect to the certificate or card prior to the imposition of the fee; (2) not more than one fee per month; and (3) disclosures regarding dormancy, inactivity, or service fees are stated clearly and conspicuously on the certificate or card and given prior to purchase. The final rule also provides that a gift certificate, store gift card, or general-use prepaid card may not be sold or issued unless the expiration date of the funds underlying the certificate or card is no less than five years after the date of issuance (in the case of a gift certificate) or five years after the date of last load of funds (in the case of a store gift card or general-use prepaid card). In addition, the final rule excludes certain prepaid products from the definitions of gift certificate, store gift card, or general-use prepaid card, such as cards, codes, or other devices that are issued in connection with a loyalty, award, or promotional program, or that are reloadable and not marketed or labeled as a gift card or gift certificate. The Board also published in the Federal Register on October 29, 2010, (75 FR 66644) a final rule to implement legislation passed by Congress to extend the effective date of certain gift card disclosure provisions in title IV of the Credit Card Act. With respect to gift certificates, store gift cards, and general-use prepaid cards produced prior to April 1, 2010, the final rule delays the effective date of the disclosure requirements until January 31, 2011, provided that several specified conditions are met. 
Agency: Federal Reserve System(FRS)  Priority: Substantive, Nonsignificant 
RIN Status: Previously published in the Unified Agenda Agenda Stage of Rulemaking: Completed Actions 
Major: No  Unfunded Mandates: No 
CFR Citation: 12 CFR 205.20   
Legal Authority: 15 USC 1693b   
Legal Deadline:
Action Source Description Date
Final  Statutory    02/22/2010 
Timetable:
Action Date FR Cite
Board Requested Comment  11/20/2009  74 FR 60986   
Board Issued Final Rule  04/01/2010  75 FR 16580   
Board Requested Comment on Interim Final Rule  08/17/2010  75 FR 50683   
Board Requested Comments  09/24/2010  75 FR 58549   
Board Issued Final Rule  10/29/2010  75 FR 66644   
Regulatory Flexibility Analysis Required: No  Government Levels Affected: None 
Small Entities Affected: No  Federalism: No 
Included in the Regulatory Plan: No 
RIN Data Printed in the FR: No 
Agency Contact:
Vivian Wong
Senior Counsel
Federal Reserve System
Division of Consumer and Community Affairs,
Washington, DC 20551
Phone:202 452-3667