The Consumer Financial Protection Bureau (CFPB) is currently seeking player feedback as it proposes new rules for in-game currency and transactions that would allow for the Electronic Funds Transfer Act (EFTA) and the protections it grants to consumers. Applies to certain video game companies.
Historically, EFTA has been used to protect consumers from unauthorized transactions and to require financial institutions to correct errors and investigate and correct illegal transactions. The CFPB wants to apply some of the same rules to gaming companies that have “consumer asset accounts” and similar products that allow you to convert in-game currency or goods into real money.
According to this interpretation, the new rules apply to games like Roblox (which allows users to convert Robux to US dollars) and games like Fortnite where in-game currency and goods can be purchased but cannot be converted or exchanged for real money. Does not apply to . Between players. It will also likely apply to platforms like Steam, where users can sell in-game goods like weapon skins and other cosmetics for cash.
Despite these differences, the CFPB is asking players more broadly to share their experiences with purchasing in-game digital goods and services. Ask players to share stories about challenges they’ve faced when using in-game currency, what help (or lack thereof) they’ve received when they run into problems, and how they’d like to be protected if something goes wrong. This is provided to protect your in-game transactions and account.
“Every year, Americans spend billions of dollars on video games and virtual worlds,” the CFPB wrote, soliciting feedback and comments from gamers. “A significant portion of these costs are purchases of game currency, which is stored in a player’s account and used for in-game transactions, such as purchasing goods and services and peer-to-peer (“P2P”) transfers of video games and virtual worlds, as detailed in the report. “The way these gaming currencies and accounts work with regard to financial risk is evolving rapidly, increasingly including features similar to banking and payment systems.”
The CFPB went on to say that gaming companies are currently operating under a “buyer beware” concept. This means that users who run into currency conversion issues, have their accounts hacked, or have their virtual goods stolen receive little to no help from the gaming companies themselves. According to the CFPB, users who run into problems are often denied refunds, banned from games associated with their accounts, or get lost in a customer service “doom loop.”
“The proposed interpretation rule clarifies that gaming companies subject to the Electronic Funds Transfer Act may violate federal consumer finance laws if they fail to resolve problems gamers are experiencing with their accounts,” the CFPB wrote. “The CFPB invites the public, including gamers, to provide comments and stories about our proposal.”
The public has until March 31 to submit comments by emailing the CFPB.
“Your contribution will help shed light on how the gaming industry increasingly resembles traditional banking and payment options,” the CFPB wrote.
