Debit Card Fee Fight Heats Up in Congress

Visa and U.S. banks will press lawmakers on Thursday for relief from a proposed slashing of debit card processing fees, an issue that has attracted bipartisan support for softening the impact of part of the Dodd-Frank financial law. Banks and card network companies such as Visa Inc V and MasterCard Inc MA have been pleading with the Federal Reserve to change a December proposal that would cut debit processing fee revenue by about 75%. But even debit industry sources admit that getting the Fed to significantly ease up on its proposal will be a tough task, leading the industry to focus its sizable lobbying firepower at Capitol Hill. A House Financial Services subcommittee on Thursday will hear from Fed Governor Sarah Raskin and industry representatives on the issue. Continue reading the article.