Filene Survey Seeks Impact Of Interchange Amendment
MADISON, Wis. – Filene Research Institute has launched a study to determine the effects the impending interchange amendment in the bank reform bill on credit unions, who are lobbying Congress against the amendment.
The credit union think tank is asking credit union executives to participate in an online survey, which can be found at http://filene.org/blog/post/interchangesurvey.
All natural-person credit unions are invited to take the survey by Friday, July 16. The resulting report, detailing both the changes to interchange and the broader ramifications of the financial reform bill, will be available from the Filene Research Institute this fall. The study, being conducted by Professor Adam Levitin of Georgetown University Law Center, seeks to understand interchange practices and revenue at credit unions in order to project how changes are likely to affect non-interest income and overall profitability of credit unions.
The interchange amendment will have the Federal Reserve study interchange fees charged on debit transactions by the biggest banks, those over $10 billion, and to direct a reduction in fees if they are determined too high. The amendment will also establish a retailer’s ability to encourage other forms of payment to customers that may be cheaper than MasterCard or Visa. Both networks currently prohibited retailers from that, at risk of fines.