After significant changes were made to ICBA-advocated debit card interchange legislation, a vote on the measure is expected as soon as this week. ICBA is strongly urging the nation’s community bankers to use the association’s new grassroots alert to urge Congress to pass the much-needed legislation.
The revised legislation, which is sponsored by Sens. Jon Tester (D-Mont.) and Bob Corker (R-Tenn.), would:
* Create a strong oversight regime to help ensure and provide a basis for further legislative action by requiring that, over time, community banks are not subject to anticompetitive market forces or discriminatory merchant behavior.
* Delay the proposed Fed rule by one year.
* Require financial regulators to submit to Congress a new study of the debit interchange system, taking into account the full spectrum of community banks’ cost to operate their debit programs.
* Suspend and possibly require the withdrawal of the Fed’s proposed rule on debit interchange.
* Mandate that a new rule consider all of the costs associated with running a debit card program for issuers.
ICBA’s updated Interchange Action Center features a customizable letter to Senate offices, a custom op-ed for hometown media and other background materials to spread the word on the need to pass this crucial legislation. Continued community banker outreach is critical to maximize congressional support. Contact Congress Now.