Lawmakers present House version of Durbin-Marshall bill
American Bankers Association’s (ABA) President and CEO, Rob Nichols, made a statement regarding the House version of the highly opposed Durbin-Marshall bill.
Nichols said, “Both Representatives (lawmakers of the bill) chose big retailers over the strongly-stated opposition of community financial institutions and their customers. Like the Durbin Amendment on debit cards, consumers will see higher costs, less access and less competition – all on behalf of publicly traded retailers with profit margins many times that of community banks. We urge every member of Congress to oppose this deeply flawed and harmful legislation.”
The bill introduced by Reps. Peter Welch (D-Vt.) and Lance Gooden (R-Texas) is a companion bill to the Credit Card Competition Act of 2022, a highly-opposed bill that was introduced in the Senate by Sens. Dick Durbin (D-Ill.) and Roger Marshall (R-Kan.). According to ABA, the bill would create new credit card routing mandates that will affect banks issuing credit. Specifically, it would require covered credit card issuers to add a second network to their customers’ cards, but banks would only be allowed to choose from certain options set by the Federal Reserve.
Read more about the introduced legislation here.