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To: Nick Danger

Not so fast there Mr Third Eye. This has more to do with Visa and Mastercard logo’d debit cards. Banks do have costs from that. Which go up all the time to cover losses from fraud. A bank issuing it’s own debit card would not have to increase anything.


13 posted on 10/02/2011 1:20:30 PM PDT by moehoward
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To: moehoward

Most of them are not increasing the fees for ATM cards, which are the same thing as a "bank issuing its own debit card." (In the absence of one of the transaction-clearing networks like Visa or MC, there's no way to transfer money from the bank to the merchant).

The so-called "Durbin Amendment" to the Dodd-Frank bill mandated a reduction in fees charged to merchants for a debit card transaction from an average of 44 cents to 12 cents. That's a $16 billion hit to the banks. Only a Democrat like Durbin would expect that to just disappear into the ether. Anyone else would have seen an end to free checking accounts, fees for using debit cards, and more nickel-and-diming until the $16 billion is made up.

14 posted on 10/02/2011 4:31:55 PM PDT by Nick Danger (Pin the fail on the donkey)
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