Interchange. Credit unions love it and merchants hate it. However, merchants are being more than hypocritical in suggesting credit unions and other financial institutions cap debit card interchange fees.
WASHINGTON -- For credit unions, the upcoming House-Senate conference committee on the financial regulatory overhaul is coming down largely to interchange fee regulation.
At press time, the Senate was putting the final touches on the bill to change the way financial services are regulated.
The chairmen and ranking Republicans of the Senate Agriculture and Banking committees are among the 12 senators named to the Senate-House conference committee that will reconcile differences between the regulatory overhauls.
Citing the provisions that would allow the Federal Reserve to regulate interchange fees, CUNA and NAFCU both expressed opposition to the regulatory restructuring bill that the Senate passed 59-39 last night.
On a mostly party-line vote, the Senate voted today to spend no more than 30 additional hours debating the bill that will overhaul the regulation of financial services.
The chairman of the NCUA would be included in the council of regulators that could make decisions on systemic risk and hear appeals of rules by the new consumer financial regulator if an amendment sponsored by Sen. Susan Collins (R-Maine) is approved.
Kathy Keenan-Swanson, the head teller at the $91 million Southwest Montana Federal Credit Union of Anaconda, is preparing to face her first test in her pursuit of a House seat in the Montana legislature.
An independent consumer financial regulator might be less sensitive to the safety and soundness implications of potential new rules than one housed inside the Federal Reserve.
With several thousand bankers in town this week, CUNA is making sure its side of the story isn't forgotten.