124 STAT. 2069 PUBLIC LAW 111–203—JULY 21, 2010 ‘‘(i) the incremental cost incurred by an issuer for the role of the issuer in the authorization, clearance, or settlement of a particular electronic debit trans- action, which cost shall be considered under paragraph (2); and ‘‘(ii) other costs incurred by an issuer which are not specific to a particular electronic debit transaction, which costs shall not be considered under paragraph (2); and ‘‘(C) consult, as appropriate, with the Comptroller of the Currency, the Board of Directors of the Federal Deposit Insurance Corporation, the Director of the Office of Thrift Supervision, the National Credit Union Administration Board, the Administrator of the Small Business Adminis- tration, and the Director of the Bureau of Consumer Finan- cial Protection. ‘‘(5) ADJUSTMENTS TO INTERCHANGE TRANSACTION FEES FOR FRAUD PREVENTION COSTS.— ‘‘(A) ADJUSTMENTS.—The Board may allow for an adjustment to the fee amount received or charged by an issuer under paragraph (2), if— ‘‘(i) such adjustment is reasonably necessary to make allowance for costs incurred by the issuer in preventing fraud in relation to electronic debit trans- actions involving that issuer; and ‘‘(ii) the issuer complies with the fraud-related standards established by the Board under subpara- graph (B), which standards shall— ‘‘(I) be designed to ensure that any fraud- related adjustment of the issuer is limited to the amount described in clause (i) and takes into account any fraud-related reimbursements (including amounts from charge-backs) received from consumers, merchants, or payment card net- works in relation to electronic debit transactions involving the issuer; and ‘‘(II) require issuers to take effective steps to reduce the occurrence of, and costs from, fraud in relation to electronic debit transactions, including through the development and implementation of cost-effective fraud prevention technology. ‘‘(B) RULEMAKING REQUIRED.— ‘‘(i) IN GENERAL.—The Board shall prescribe regu- lations in final form not later than 9 months after the date of enactment of the Consumer Financial Protection Act of 2010, to establish standards for making adjustments under this paragraph. ‘‘(ii) FACTORS FOR CONSIDERATION.—In issuing the standards and prescribing regulations under this para- graph, the Board shall consider— ‘‘(I) the nature, type, and occurrence of fraud in electronic debit transactions; ‘‘(II) the extent to which the occurrence of fraud depends on whether authorization in an elec- tronic debit transaction is based on signature, PIN, or other means; Deadline. Standards.
