The Client Financial Coverage Bureau says Google Pay is dangerous for shoppers. Google disputes the claim and has removed the product.
Google is suing the Consumer Monetary coverage Bureau (CFPB), which on Friday ordered federal monitoring of the company’s payments arm Google Pay.
The CFPB had previously raised concerns that Google Pay posed potential risks to consumers.
The company cited nearly 300 consumer court cases suggesting that Google may not have properly investigated or explained some of the disputed transactions.
In June, Google stopped offering a US version of its Google Pay app, which allows society to send money directly at every opportunity – telling users that they would still be able to make and manage payments at retail stores. You will be able to use Google Wallet for. Their fee forms.
Nevertheless, on December 6 the CFPB publicly rejected a resolution saying that Google Pay meets the strictest standards for supervision, even though the carrier has already been suspended in the US.
In bringing Google Pay forward, the CFPB applied a new provision of a large portion of the Dodd-Frank business that allows the company to investigate non-bank monetary establishments “that pose a risk to consumers.”
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According to the bureau’s announcement, “the CFPB’s order does not conclude that the entity engaged in wrongdoing.”
Instead, the company noted that it was working to strengthen transparency and provide better guidance on how decisions will be made, by authorizing “the release of certain information regarding any final decision.”
In response, Google Inc. filed a complaint in the U.S. District Court for the District of Columbia challenging the CFPB’s layout.
A Google spokesperson told The Epoch Instances, “This is a clear case of government overreach involving Google Pay peer-to-peer payments, which never took off and is no longer offered in the US, and we Challenging in court.” E-mail.
The complaint, filed on Dec. 6, said the decision was in response to an overly broad interpretation of the company’s authority.
It alleged that the CFPB relied on a “small number of unsubstantiated complaints” involving Google Pay and that the layout did not amount to wrongdoing.
Furthermore, the company argues that there is no ongoing or equitable opportunity for consumers because the product does not exist, and the question is whether the company is allowed to designate an organization for oversight in response to that product or No that doesn’t deal.
The filing argues that the CFPB overstepped its statutory authority and did not rely on Google Pay’s extensive compliance measures, as well as its own reports of state-level regulatory examinations without any well-known consumer policy deficiencies.
The complaint further states that the Bureau’s method, which included multiple rounds of supplemental filings detailing its theories and evidence, did not follow its individual procedural requirements.
Google also criticized what it described as a coercive approach, claiming that the CFPB threatened to submit the disputed designation unless the company agreed to supervision, thereby violating its statutory authority to match the subject matter. There was pressure to abandon it.
Reuters contributed to this file.
