Senators Dick Durbin (D-IL) and Roger Marshall (R-KS) recently introduced a bill that would change the interchange system by allowing merchants to bypass established secure payment networks. The League of Southeastern Credit Unions (LSCU) and the Credit Union National Association (CUNA) strongly oppose this legislation, as it would bring further financial benefits to big box retailers at the expense of consumers.
We launched a grassroots action alert regarding potentially harmful legislation and regulation concerning interchange fees. Many of you may recall that back in 2006, Senator Durbin of Illinois held a hearing on regulating interchange that eventually led to the passage of the Durbin Amendment in 2010, which set federal price caps on debit interchange fees.
We need to send a strong message to the Senate to oppose any changes to the current interchange system. This current system protects credit cards and data and allows consumers to build credit and purchase necessary items. We want to flood the Senate with this message – especially to those Senators serving on the Judiciary and Banking Committees.
Consumers across the country rely on credit cards to make life happen, from paying for groceries and school supplies to covering emergency car repairs or medical expenses. Accepted nearly everywhere, credit cards offer robust security, fraud protection, and access to credit that may not otherwise be available. Interchange keeps consumers, merchants, and financial institutions safe.
You can contact your federal lawmakers at the link below to inform them that the current interchange system in place benefits all stakeholders.
Thank you for being engaged credit union advocates and for working so hard to provide essential services to your communities!