Comments on: Do the Math – Then Help Defeat the Durbin Interchange Amendment http://co-opinsightvault.com/2010/06/do-the-math-%e2%80%93-then-help-defeat-the-durbin-interchange-amendment/ The Official CO-OP Financial Services Blog Sat, 10 Dec 2011 01:09:52 +0000 http://wordpress.org/?v=2.9 hourly 1 By: Caroline Lane http://co-opinsightvault.com/2010/06/do-the-math-%e2%80%93-then-help-defeat-the-durbin-interchange-amendment/comment-page-1/#comment-105 Caroline Lane Sat, 05 Jun 2010 00:41:38 +0000 http://co-opinsightvault.com/?p=393#comment-105 Well said, Shirley. We at CO-OP are amazed at the misconceptions that exist within the minds of those who are writing legislation on this topic. Today, we got a chance to set the record straight, if only just a little. A few of us within CO-OP's senior management team spoke to a very knowledgeable fellow from the U.S. Treasury Department who was searching for the winners and losers in this interchange value chain. Several times during the conversation, we reminded this gentleman that interchange is an exchange of funds from the merchant to the issuer, but he kept circling back to a need for "transparency" to the consumer. He even went so far as to say that if this amendment passes, consumers would be able to shop for the cheapest card. Of course, we were quick to dispute that point, explaining that the consumer will definitely NOT be the winner. On that point, he acquiesced, saying that he agrees that consumer's checking account fees will go up if the Durbin amendment passes. It was a small victory, but at least the questions are being asked. Thank you for taking the time to write. Well said, Shirley. We at CO-OP are amazed at the misconceptions that exist within the minds of those who are writing legislation on this topic. Today, we got a chance to set the record straight, if only just a little. A few of us within CO-OP’s senior management team spoke to a very knowledgeable fellow from the U.S. Treasury Department who was searching for the winners and losers in this interchange value chain.

Several times during the conversation, we reminded this gentleman that interchange is an exchange of funds from the merchant to the issuer, but he kept circling back to a need for “transparency” to the consumer. He even went so far as to say that if this amendment passes, consumers would be able to shop for the cheapest card. Of course, we were quick to dispute that point, explaining that the consumer will definitely NOT be the winner. On that point, he acquiesced, saying that he agrees that consumer’s checking account fees will go up if the Durbin amendment passes.

It was a small victory, but at least the questions are being asked.

Thank you for taking the time to write.

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