Rep. Peters Shares Interchange Concerns with Fed (Misc News: January 24, 2011)
In a Jan. 24 letter to Federal Reserve Board Chairman Ben Bernanke, Rep. Gary Peters (D-Bloomfield Township) expressed his concerns with the implementation of the debit interchange requirements in the Dodd-Frank Wall Street Reform and Consumer Protection Act.
Peters' letter shared the issues Congress addressed in crafting Section 1075 (separating financial institutions under $10 billion in assets from the rest), but that have not been dealt with by the Fed.
"Small issuers rely upon fees generated by electronic debit transactions to provide free checking services to their customers, and to cover the costs associated with fraud protection and data security," wrote Peters. "(Smaller financial institutions) have also raised concerns that the Federal Reserve has not met separately with them to discuss the particular impact these regulations would have."
For more information, read MCUL's Debit Interchange Fees Issue Brief.