NAFCU has used a letter to the leadership of a House Subcommittee to voice credit union's continuing objections to debit card interchange regulation.
The House Small Business Committee's Subcommittee on Oversight and Investigations is holding a hearing on interchange and small business today.
In a letter to the Subcommittee's leadership, NAFCU pointed out again that debit interchange amendment in the recent financial regulatory reform law will hurt credit unions, community banks and consumers.
"The fact that there is no stipulation in H.R. 4173 to ensure that the cost savings merchants receive will be passed onto consumers in the form of lower prices is curious, given that proponents of the Durbin language argue that they are working in the name of small businesses and their customers," NAFCU pointed out. "
The reality is that the real winners with this language are the large box store retailers who stand to make millions. Unfortunately, the losers are your Main Street financial institutions - credit unions and community banks - and ultimately the American consumer. Credit unions, which are small businesses themselves, have proudly served over 92 million Americans throughout the financial crisis while coming up with innovative ways to keep the flow of credit moving to consumers and other small businesses," the association added.