Bill that could raise restaurants debit card swipe fees passes House Committee
In 2010, restaurants gained relief from skyrocketing debit swipe fees through the Dodd-Frank Wall Street Reform and Consumer Protection Act, thanks in large part to the National Restaurant Association (NRA). Today, debit swipe fees average between 24 and 27 cents per transaction, nearly half what it was before Dodd-Frank. Unfortunately, some in Congress want to repeal this critical reform.
On September 13th, the House Financial Services Committee passed the Financial CHOICE Act, which now proceeds to the full House for a vote. Included in the Act, and of key importance to the restaurant industry, is a critical provision that would repeal the debit swipe fee reform.
"The National Restaurant Association is extremely disappointed that the Financial CHOICE Act, including a provision to repeal debit swipe fee reform, has passed the House Financial Services Committee," said Laura Chadwick, director of commerce and entrepreneurship for the National Restaurant Association. "We are categorically opposed to the repeal of these critical reforms that have brought a degree of competition, transparency and fairness to debit swipe fee costs where there was absolutely none previously. Our members fought vigorously to achieve debit swipe fee reform for years, and we will continue to fight against any further movement of this bill so long as a repeal provision is included. We will continue to fight for Main Street and urge Members of Congress to stand with small business, not big banks."
According to the NRA, if the bill becomes law, debit card swipe fees would revert back to an average of 44 cents or more per transaction, which would inflate both operational and consumer costs which is just plain bad for business.
What can you do? Contact your members of Congress and ask them to oppose the Financial CHOICE Act.