Sens. Dick Durbin, D-Ill., and Roger Marshall, R-Kansas introduced the Credit Card Competition Act Thursday evening, which poses a serious threat to sensitive financial data for millions of consumers by allowing the nation’s largest retailers to bypass established secure payment networks.
CUNA and other organizations within the financial services sector issued a joint statement outlining concerns earlier Thursday.
“The so-called Credit Card Competition Act is nothing more than a massive financial windfall for big box retailers at the expense of consumers,” said CUNA President/CEO Jim Nussle. “This legislation would jeopardize access to safe, affordable credit.”
“CUNA, Leagues, and credit unions will fight against any legislative changes to the current operation of credit and debit cards.”
Interchange fees cover the costs of fraud detection, credit monitoring, and fraudulent purchase protection, which keeps consumers, merchants, and financial institutions safe.
CUNA outlined these concerns in a May letter to the Senate Judiciary Committee and sent an additional letter with the American Association of Credit Union Leagues and all state Leagues.