Cheney: Interchange Rule Stay Will Keep Order
Credit Union National Association President/CEO Bill Cheney said a Friday court decision to allow existing debit interchange fee cap rules to stay in place during an appeals means there will be an order in place that will provide certainty, at least for now.

The existing Federal Reserve rules implementing the debit interchange fee cap and network exclusivity provisions required by the Durbin Amendment will stay in place throughout an appeals process as the Fed seeks to overturn a July court ruling that declared those rules illegal. Read More
 
 
GOP Chairman Vows to Lift 'yoke of Dodd-Frank' From Credit Unions
House Financial Services Committee Chairman Jeb Hensarling pledged Tuesday to use his gavel to push back against a flurry of Dodd-Frank Act regulations he warned would stifle the nation’s financial sector. 

“If I had the votes today, I would repeal Dodd-Frank,” the Texas Republican said.  "I want to take the yoke of Dodd-Frank from your back.” Read More
 
 
Doubts Whether Durbin Ruling Damages Would Impact Most CUs
Even if U.S. District Court Judge Richard Leon orders debit card issuers to pay merchants for past interchange payments, legal experts doubt that his order would include most credit unions.  Read More

 
 
Interchange: Next Steps Examined In CUNA 'Inside Exchange'
Interchange, and the next steps for credit unions to expect as the result of a federal court ruling, is the subject of the latest episode of the Credit Union National Association's "Inside Exchange."

CUNA has warned that the district court ruling will have "a potentially devastating impact on the ability of small debit card issuers, particularly credit unions, to continue offering this vital payments service to their members and customers."  Read More
 
 
Breaking News: Judge Delays Interchange Cap Rejection by a Week
An  irate U.S District Judge Richard Leon threw the Federal Reserve another curve ball on Wednesday when he gave the Federal Reserve another week to tell him why he should not throw out the 21-cent interchange debit cap immediately.

The judge had stayed his July 31 decision lifting the cap and invalidating the Federal Reserve's debit network rules until Wednesday and he chastised the agency for not being ready to discuss when it could have a new rule in place.  Read More
 
 
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Court Orders Lower Cap on Swipe Fees ~ The Hill
Retailers won a huge victory on Wednesday as a judge ordered the Federal Reserve to lower the limits on swipe fees for debit card transactions.

U.S. District Judge Richard Leon struck down the 21-cent cap set by the Fed nearly two years ago as too high, saying the central bank had ignored the will of Congress.  Read More

CUNA, NAFCU Say Durbin Decision Will Hurt CUs ~ CU Times
Overturning the Federal Reserve's cap on debit interchange for large debit issuers will hurt credit unions, the industry's two largest trade associations said last Wednesday after a federal judge threw out the cap.  Read More
What's Next After Interchange Cap Ruling? Aug. 14 Hearing Set
Now that U.S. District Judge Richard Leon has invalidated almost all of the Federal Reserve's debit regulations, what might be the next steps?  Read More
Durbin Interchange Decision Unexpected, Appeal Uncertain
Whether or not the Federal Reserve can or will appeal last week’s decision overturning two-thirds of its debit interchange regulation hangs in the balance because of several unresolved questions.  Read More
 
 
At a recent speech before a convention of the Credit Union National Association (CUNA), new Sen. Elizabeth Warren (D-Mass.) made the pitch that the Dodd-Frank Wall Street Reform and Consumer Protection Act of 2010 was achieving its goal of reining in Wall Street while “level[ing] the playing field” for credit unions.

On the law’s creation of the Consumer Financial Protection Bureau (CFPB), which Warren first proposed and then organized as an adviser to President Obama, Warren proclaimed: “The agency works for consumers. It also works for the lenders and small financial institutions, like credit unions.”  Read More
 
 
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Durbin Exemption Fails to Protect Credit Unions From Impact
Roughly fifteen months after the Durbin amendment went into effect, the controversial legislation that capped debit card interchange for issuers with over $10 billion in assets has painted a mixed picture for most credit unions.

Even though all but four credit unions in the country have less than $10 billion in assets and were supposed to be exempt from the Durbin amendment’s cap, all the executives interviewed reported that credit union debit card interchange has taken a loss on a per transaction basis.  Read More


 
 
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Credit unions saw their debit interchange revenue drop by $1.38 million in Q3 of 2012, according to the Credit Union National Association. The alleged culprit is the Durbin Amendment, which imposed a cap two years ago on debit interchange fees, or swipe fees: charges on merchants that are levied by card processors very time a card is used at the point-of-sales terminal.

Durbin intended both to give retailers a break from those fees and to protect smaller financial institutions like credit unions from its impositions – financial institutions with assets under $10 billion were exempt from the camp. However, as this report suggests, such is not the case.  Read More