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Unfortunately, these authors will have a lot of explaining to do on October next when their followers don’t watch a decrease in their debit card account processing fees.


This unintended outcome is the end result of a major oversight through the Fed when drafting your Durbin Amendment. You discover, interchange is the fee that banks charge businesses right after they accept a debit card issued with the bank.


So, the Feds thought capping your debit card interchange fee that banks will charge would lead to lower processing costs for stores. It sounds like a logical conclusion, but the Feds never consider who’s actually paying interchange fees.


The majority of businesses in the country don’t pay interchange fees straight to the banks that issue credit and debit cards. Instead cheap air max 90 for sale , businesses pay a fee to credit card processors and processors essentially pay interchange on the banks (via procuring banks).


So, the debit card charge cap imposed by Durbin will actually benefit credit-based card processors more than company since processors are the ones that actually pay issuing bankers. Ultimately, processors will pay a lesser debit fee to bankers, but they are still absolve to continue charging businesses at pre-Durbin rates and charges. By providing your potential clients with online credit card account processing, you are providing them with the added freedom of buying from you online instead of going to your competitors.


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