The American Consumer Institute is concerned to learn that a letter has been sent by a few U.S. legislators, led by Senator Dick Durbin of Illinois, to Visa Inc. and Mastercard Inc. regarding reports of pending increases in interchange fees on merchants. The letter expresses misplaced fears that such plans would lead merchants to pass […]
Today, a coalition of nonprofit policy organizations sent a letter to Congress in opposition to any legislation that would expand or mimic the provisions of the Durbin amendment as enacted in the Dodd-Frank Wall Street Reform and Consumer Protection Act (P.L. 111-203). Expanding the Durbin amendment’s interchange fee cap and routing restrictions to credit cards […]
Every so often, Congress introduces a piece of legislation advocating for some new form of price control claiming it is needed to protect the rights of consumers. Yet, time and time again these price controls fail to live up to their expectation, usually to the detriment of the very consumers they were designed to protect. This op-ed was published […]
Despite trying to cut costs for consumers and businesses, research has consistently shown the Durbin amendment denied consumers access to no-fee and low-fee financial services. Moreover, this denial disproportionately harmed minority and low-income communities, preventing them from accessing formal lines of credit. The proposal to lower and cap interchange fees for credit card transactions would exacerbate […]
Each year, financial merchants such as Visa, Mastercard, American Express, and banks process 39.6 billion card transactions in the United States, amounting to 108.6 million transactions each day. To ensure these transactions are processed quickly and securely, financial merchants and banks impose interchange fees on transactions, more commonly known as swipe fees. Last year, merchants businesses paid financial […]
On December 3, 2009, ACI Experts Dr. Larry F. Darby and Dr. Joseph Fuhr, Jr. discuss the effects of hidden credit card fees on consumers and retail merchants. Click here to here the entire audio. call-audio1
To the see the article in the Delaware County Daily Times click here.
WASHINGTON—The American Consumer Institute (ACI) today released a ConsumerGram detailing the negative effects that high credit card fees (referred to as interchange fees) have on families across the country. On average, each household will pay an estimated $337 this year in interchange fees – a hidden tax on credit card purchases. In turn, the credit […]