What the Durbin Amendment Means for You

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A new report by The Financial Services Roundtable goes over the results of several studies of the Durbin Amendment and, unsurprisingly, concludes that its impact on consumers will be neutral at best and most likely negative.
The debit card fees tested by most big banks may have been getting the most attention, however they are just one aspect of the banks' strategies for coping with the Durbin Amendment's revenue-slashing effects. The end result is that banking is still becoming more expensive, debit card fees or not.
Yet, there is a positive side effect for consumers with high credit scores who are actually benefiting from the Durbin Amendment, because they now get bombarded with credit card offers featuring incredible rewards programs from issuers eager to drive customers away from debit and into the more profitable credit. http://blog.unibulmerchantservices.com/impact-of-durbin-amendment-on-consumers-will-be-neutral-at-best

J.G. of CA 1:37PM December 11, 2011

Congress and the fed handled the problem in the wrong way. Consumers that are using cards should be charged for their use out front instead of through the back door as is done when the bank charges the merchant. The bank/credit card industry has circumvented the very principle that drives our economy by hiding the cost from the consumer and limiting competition by creating a behind the door monopoly. They have done this by not having fees that the consumer is not aware of and thus cannot vote on with their money.

Joshua of TX 1:38PM October 28, 2011

Obama wants to remove incentives from the oil industry, so eccentially, oil companies (the rich) will pay more taxes. The oil companies will raise the price of gas at the pump to make up for it. The Middle Class will pay for this by paying more for gas and more for everything that is transported by truck, rail, air, etc. including Food, Clothing, Automobiles, Furniture, etc. You will also pay more to take the Bus, Cab, Train, Flying, etc. The government needs to stay out of our lives. It sounds good to Tax the Rich Banks and Oil Companies. But in the end, The People will Pay the Tab. Democrats do not Understand Economics or they are Just trying to Demonize the Segments of Society to Get Votes.

Leonardo of NY 12:42PM October 25, 2011

For Merchants, the lower fees are only if your on the right plan with your current processing company. As for the consumer, retailers will see savings monthly, but will not be pasted on in lower item cost.
Any merchant that would like a free analysis of your current plan, please feel free to visit my web-site www.palermospayjunction.com and contact me.

Michael of NJ 4:54PM October 05, 2011

The consumer continues to lose! The merchants will NOT lower their prices because of lower swiping fees and now the banks are going to charge for the use of a debit card. Our childen have been taught for years to go to debit cards because merchants did not want to take checks. So the winner is WHO? NO ONE! Our brilliant goverment at work!

David of TN 2:47PM October 02, 2011

As a small business owner I don't see what they are referring to as far as "Even assuming that merchants pass on all of the savings from lower debit interchange fees onto their customers"...... I don't charge my customer a fee for credit or debit usage!!! What savings are they referring too!
All I know is the merchants have been paying through the nose just to accept these cards and now we get to look forward to higher fees on our own business and personal bank accounts!
thanks again, for nothing!

Janet of CA 4:45PM September 13, 2011

This kind of control over private enterprise should be no surprise for anyone. Take a look at who Americans voted for and elected for our president. When we give our education institutions over to liberals who teach anti capitalistic views, as well as government knows best so it should be able to control private enterprise-this is what we get in return. Thank the minority teaching the majority in our schools.

Jon of IL 6:06PM August 16, 2011

Seriously! This is suppose to make the merchant so happy that they will lower their prices to the customers! HAHA! Yeah right!
We all lose again!

Kyle of GA 4:25PM August 08, 2011

Hey Illinois...vote this Marxist out of office! You see what happens when government gets involved. We all lose! Durbin is useless, except maybe being a lap dog for Van Jones and fetching tissues.

Tim Robinson of CA 5:13PM August 02, 2011

The new limit on debit card interchange fee is primarily a huge win for merchants. Consumers, on the other hand, will end up being net losers, as card issuers will inevitably begin making up for their interchange-related losses by generating additional revenues by charging higher fees elsewhere. Well, they are already doing it. http://blog.unibulmerchantservices.com/debit-card-fee-limit-lifted-to-24-cents-consumers-will-still-pay-for-it

Greg of CA 7:51PM July 15, 2011