CFPB Data Shows Rise in Payments Gripes During COVID-19
Based on the data from the Consumer Financial Protection Bureau (CFPB), consumers have started complaining more about credit/prepaid card products during COVID-19. To reveal more about the surge and know how to find the best merchant account in the U.S., stay on the page.
Payments Complaints Soaring: Where to Find the Best Merchant Account
Consumer complaints about payments have risen by 29%. The CFPB has been reporting an increase in consumer complaints concerning credit card processing for the 5th month in a row.
A new record has been hit in terms of the monthly volume, as the U.S. Public Interest Research Group (PIRG) and the Frontier Group report. Complaints about money-transfer, virtual-currency, and money services have grown by 77%.
The rise in complaints is driven by more than one reason. On the one hand, an unexpectedly large number of people lost their jobs. On the other hand, working hours were cut, so many businesses closed their doors, and consumers were forced to stay at home because of lockdown. As a result, banks and other issuers appeared in an unprecedented crisis.
Given the current changes and challenges in payments, working with a respectable payments specialist is critical to your success. Finding one can’t be an issue if you turn to a reliable payment processor comparison expert in the U.S. This is how you can be sure to find the best merchant account and all the other necessary merchant processing services to accept payments online.
What Numbers Show
The overall number of consumer complaints increased by 86% during COVID-19. Credit reports made up 65% of the total complaints in July. In February, the number was 54%.
The recent growth in gripes concerning credit reporting was caused by the increased number of complaints about incorrect information in a credit report. Ed Mierzwinski, U.S. PIRG Senior Director for Consumer Programs, notes it’s too important to check credit reports for mistakes.
So, the CFPB data reveals that there’s been a spike in payment complaints during COVID-19. The reasons have to do with today’s challenging situation caused by the lockdown. All this makes it more critical than ever to work only with a reputable payments specialist.
Author Bio: Payment industry guru Taylor Cole is a passionate payments expert who understands the complex world of merchant accounts. He also writes non-fiction, on subjects ranging from personal finance to stocks to cryptopay. He enjoys eating pie on his backyard porch, as should all right-thinking people.