Industry Groups Support Cap on Debit Card Fees

According to Nation’s Restaurant News, “ Restaurant and retail groups expressed support for a Senate amendment to financial service reform legislation that would limit the fees financial companies can charge on debit transactions.”

“The amendment, which was introduced by Sen. Richard Durbin, D-Ill., would authorize the Federal Reserve to determine ‘reasonable and proportional’ interchange or ‘swipe’ fees on debit cards imposed on restaurants and other businesses. The amendment, which was approved by a vote of 64 to 33, also would enable operators to establish a set of minimum and maximum transaction levels for credit cards, and offer discounts to patrons if they pay their bill with cash, check or debit card. Under the existing regulations, operators cannot set transaction levels, despite the fact that they can lose money on small charge or debit transaction. The amendment is attached to the Restoring American Financial Stability Act of 2010.”

Read more: http://www.nrn.com/breakingNews.aspx?id=383182&menu_id=1368#ixzz0oNwSMJER