America’s Credit Unions’ Jason Stverak and Greg Mesack Thursday sent a message to Congress to push back against the Big Box Bailout bill and explain why interchange works for consumers, financial institutions, and small businesses.
The message highlights small business owners and credit union members Cindy Carver of Rapid City, S.D., and Cherella Lee of Spartanburg, S.C. Both recognize interchange is a cost of doing business—just like supplies—that helps them accept more payments from more customers.
Despite claims by its sponsors, the Big Box Bailout legislation – the Credit Card Competition Act – will not benefit Carver, Lee, or other small business owners, noted Stverak and Mesack. Instead, the bill, which aims to extend a failed government mandate limiting debit card interchange to credit cards, would harm consumers and the financial institutions and small businesses that serve them.
“The Credit Card Competition Act is nothing more than a government bailout for the largest retailers, allowing them to further pad their bottom line without any requirement to protect consumer data or respect consumers’ choice,” they wrote.
To find out more about why interchange works, review important data on this topic. Glenn Grossman, a researcher for Cornerstone Advisors, is featured in both short and long form videos released by America’s Credit Unions to highlight the negative impacts of the legislation.
The message is the latest pushback against the Big Box Bailout bill and other attempts to change the current interchange system, with further outreach planned during the 2024 Governmental Affairs Conference in Washington, D.C., March 3-7. More information is also available on the Protect Interchange website.
