Count some credit union card processors among those that have benefited from regulations implementing the Durbin amendment.
Covera, the card processing firm associated with the New York Credit Union League, is one of those processors. Covera supports credit union debit and credit card programs.
As part of the Durbin Amendment regulations, card issuers of all sizes were required to participate in at least two independent debit processing networks on their debit cards.
For many credit unions, this has meant replacing one with another or adding an additional debit processing network and, for Covera, it meant adding 83 more credit union processing contracts to its book of business, the processor announced.
To become compliant with the regulation, 56 client credit unions entered into new contracts with Covera that added PIN processing with FIS. An additional 13 credit unions signed new contracts to add NYCE as their second unaffiliated POS network, Covera reported.
“The added contracts are a direct result of the Durbin amendment and Covera’s efforts to best assist our client credit unions through the changes that amendment required,” said Kimberly McCumber-Ploof, Covera’s chief operating officer.
“We negotiated solutions that would be cost-effective for our impacted credit unions and then worked closely with them to ensure their debit programs were in compliance moving forward,” McCumber-Ploof said.