12/13/2023

Coalition Press Release:

Washington, D.C. — The Lower Credit Card Fees Coalition today released a statement following new reporting that the payments industry and bank lobby are paying social media influencers to gin up astro-turfed opposition to the Credit Card Competition Act — a bill that would save consumers and small businesses billions of dollars per year by breaking the Visa-Mastercard duopoly.

“A broad coalition of small businesses, workers, and consumers support the Credit Card Competition Act to lower business junk fees, which is why the credit card lobby must resort to doughnut giveaways and paying influencers to peddle lies about the bill. These two things are not the same,” Coalition Executive Committee member and American Economic Liberties Project Director of Policy and Advocacy Morgan Harper said. “But the truth is clear: Congress could save small businesses and consumers billions by passing the CCCA to bring much-needed competition to this market.” Read More.

12/12/2023

Editorial from Chicago Sun Times:

“Credit cards and the banks that issue them really ought to take the “swipe” out of so-called swipe fees. When customers swipe credit cards to pay for something, merchants are charged a fee of 2% to 3% or more, far more than the cost of processing those transactions. Part of that money goes to the bank that issued the card and part goes to the credit card company.

To many merchants, it feels as though someone is unreasonably swiping part of their revenue by charging exorbitant fees. They want to inject some competition into the system in hopes the fees will be lowered and rival networks will compete to be the most secure.

Visa and Mastercard share more than 80% of the business of routing credit card transactions, but whichever card a customer uses, only one company is available to process the transaction. Legislation named the Credit Card Competition Act, backed by U.S. Sen. Dick Durbin, D-Ill., and others, would give each merchant at least two choices of a network to process transactions, instead of just one. The hope is that injecting competition would bring down costs. Backers hope they can pass the bill this month or in the first quarter of next year.” Read More.

12/5/2023

Coalition Press Release:

“Washington, D.C. — As executives from some of the nation’s largest financial institutions prepare to testify before Congress, the Lower Credit Card Fees Coalition today called on banks to end price gouging through high interest rates, credit card fees and other charges that drive up costs for consumers.

“With banks swimming in near-record profits, it’s time they stop price gouging American families who are struggling to make ends meet,” coalition Executive Committee member and American Economic Liberties Project Director of Policy and Advocacy Morgan Harper said. “Whether it’s interest rates, credit card swipe fees, late fees or other charges, banks repeatedly take as much money as they can from consumers and small businesses just because they can. It’s not fair and only Congress can stop them.”

Harper said credit card “swipe” fees – the 2-4% of the purchase price that banks charge to process transactions – are particularly egregious.” Read More.

11/22/2023

Convenience Store News

“Passing the Credit Card Competition Act is the top priority for a network of businesses and advocates that are coming together as the newly formed Lower Credit Card Fees Coalition. Members include American Economic Liberties Project, Americans for Financial Reform, International Brotherhood of Teamsters, Service Employees International Union, and the Merchants Payments Coalition, which includes NACS.” Read More

11/16/2023

From NACS:

“The Lower Credit Card Fees Coalition brings together a network of likeminded businesses and advocates, including American Economic Liberties Project, Americans for Financial Reform, International Brotherhood of Teamsters, Service Employees International Union, and the Merchants Payments Coalition, which includes NACS. According to the announcement, the Credit Card Competition Act “is a crucial step towards rectifying the longstanding hold of the Visa-Mastercard duopoly.” Read More.

11/15/2023

Bloomberg Law

“Organizations pushing for lower credit card fees are launching a campaign to support legislation aiming to crack the “Visa-Mastercard duopoly” described by the Senate’s number two Democrat. Groups including Accountable.US, Consumer Reports, and the International Brotherhood of Teamsters joined the effort to back the Credit Card Competition Act of 2023 (S. 1838) — a bill pushed by Senate Majority Whip Dick Durbin (Ill.) to require banks to offer multiple payment networks on the credit cards they issue.” Read More.