Banks come out swinging against new federal regulations on swipe-card feesSubmitted by bobbyw24 on Thu, 02/17/2011 - 13:14
Congress has already passed a law curtailing the fees banks receive each time a debit card is swiped, and the Federal Reserve has drafted new regulations governing the details of the transactions.
But for a banking industry ready to scrap for every penny, the fight is far from over.
At stake are billions of dollars in revenue, and banks say the potential losses under the new federal rules already are prompting them to scale back popular consumer perks such as free checking accounts and debit card reward programs. They have sent letters to lawmakers and filed comments with the Fed. And in a hearing Thursday before a House subcommittee, they plan to ask Congress to delay implementing the new system or repeal it altogether.