**Congress Rejects New Regulations for Digital Payment Firms**

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19 days ago - Politics

Congress Blocks New Rules for Digital Payment Companies

In a recent vote, the House of Representatives has made a notable decision regarding regulations for digital payment services, which include popular options like mobile wallets and payment apps. House Republicans voted to reject a rule intended to define which companies are considered "larger participants" in this market.

By blocking this rule, businesses that would have been labeled as larger participants no longer have to follow new regulations meant to protect consumers. This means companies can operate without additional rules that would have required them to be more transparent and responsible.

The Senate had previously passed this resolution on March 5, 2025, and the House's approval means that the proposed regulations will not take effect. While this action allows for a wider variety of payment options for consumers and might help keep costs low, it has raised concerns. Experts worry that without these stricter rules, larger companies may not be held accountable enough to ensure the safety and security of users' financial information.

In summary, Congress has chosen to remove certain proposed regulations, affecting how digital payment companies will operate and potentially impacting the safety of consumers using these services.

This is a decision by Congress to block a rule that was created to define which companies are considered large in the market for digital payment apps.

  • Congress disapproves the rule from the Bureau of Consumer Financial Protection.
  • This rule was meant to determine "Larger Participants" in the digital payment market.
  • By blocking this rule, it will not take effect and will not change how these companies operate.
  • The Senate passed this decision on March 5, 2025.
430 votes

Yes

219

No

211

Not Voting

3

  1. Rules Committee Resolution H. Res. 294 Reported to House. Rule provides for consideration of S.J. Res. 18, S.J. Res. 28, H.R. 1526 and H.R. 22. The resolution provides for consideration of H.R. 22, H.R. 1526, S.J. Res. 18, and S.J. Res. 28 under a closed rule. The resolution provides for one hour of debate on each measure and one motion to recommit on H.R. 22 and H.R. 1526, and one motion to commit on S.J. Res. 18 and S.J. Res. 28.
  2. Rule H. Res. 282 failed passage of House.
  3. Rules Committee Resolution H. Res. 282 Reported to House. Rule provides for consideration of H.R. 22, H.R. 1526, S.J. Res. 18 and S.J. Res. 28. The resolution provides for consideration of H.R. 22, H.R. 1526, S.J. Res. 18, and S.J. Res. 28 under a closed rule. The resolution provides for one hour of debate on each measure and one motion to recommit on H.R. 22 and H.R. 1526, and one motion to commit on S.J. Res. 18 and S.J. Res. 28. The resolution also provides that H. Res. 23 and H. Res. 164 are laid on the table.
  4. Held at the Desk
  5. Received in the House
  6. Message on Senate action sent to the House.
  7. Passed/agreed to in Senate: Passed Senate without amendment by Yea-Nay Vote. 51 - 47. Record Vote Number: 106.
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  8. Considered by Senate. (consideration: CR S1503, S1510-1511, S1520-1521)
  9. Engrossed in Senate

    This is a decision by Congress to block a rule that was created to define which companies are considered large in the market for digital payment apps.

    • Congress disapproves the rule from the Bureau of Consumer Financial Protection.
    • This rule was meant to determine "Larger Participants" in the digital payment market.
    • By blocking this rule, it will not take effect and will not change how these companies operate.
    • The Senate passed this decision on March 5, 2025.
  10. Passed Senate without amendment by Yea-Nay Vote. 51 - 47. Record Vote Number: 106.
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  11. Measure laid before Senate by motion. (consideration: CR S1489)
  12. Placed on Calendar Senate

    This is a resolution that stops a rule from the Bureau of Consumer Financial Protection. The rule tried to define who counts as a big player in the market for digital payment apps.

    Here are the important details:

    • Congress decided that the rule will not be used at all.
    • This means that businesses that provide digital payment services won't have to follow this specific rule.
    • The resolution was introduced on February 27, 2025, and it was officially placed on the calendar for discussion shortly after.
    • About six senators, including Mr. Ricketts and Mr. Budd, supported this resolution.
    • The goal of the resolution is to remove the regulations that could have impacted how digital payment applications are run.
  13. Motion to proceed to consideration of measure agreed to in Senate by Yea-Nay Vote. 50 - 47. Record Vote Number: 103. (CR S1489)
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  14. Placed on Senate Legislative Calendar under General Orders. Calendar No. 20.
  15. Senate Committee on Banking, Housing, and Urban Affairs discharged, by petition, pursuant to 5 U.S.C. 802(c).
  16. Introduced in Senate

    This is a resolution passed by Congress. It disapproves a rule made by the Bureau of Consumer Financial Protection.

    Key points:

    1. What the Rule Was About: The rule tried to define who qualifies as a "larger participant" in the market for digital payment apps that nearly everyone uses.

    2. What Congress Did: Congress decided that this rule should not be enforced. This means the rule won’t have any power or effect.

    3. Why This Matters: This action takes away regulations that could have affected digital payment apps used for everyday transactions, like buying things online or sending money to friends.

    By blocking this rule, Congress aims to keep the market for digital payments more flexible and less restricted.

  17. Read twice and referred to the Committee on Banking, Housing, and Urban Affairs.
  18. Introduced in Senate