Afterward, the business owners will meet with members of Congress to ask them to follow through on promises to fix a system currently monopolized by big banks and credit-card companies, who charge so much to process a debit-card transaction that when a customer uses their card to buy a small-ticket [image-nocss] item--like a cup of coffee--small business owners actually lose money, so they might as well give it away for free.
To remind Congress why swipe fee reform was passed and needs to be enacted now, these small business owners plan to do just that.
Last year, Congress passed and President Obama signed into law important bipartisan reforms aimed at fixing the current interchange system, as part of the Dodd-Frank Act. New rules requiring that debit-card swipe fees be reasonable are set to take effect this summer, but the banks and credit-card companies are fighting hard to protect their "cash cow."
Also, Senator Jon Tester (D-Mont.) has proposed an amendment to delay or repeal these reforms before they even take effect--a move that opponents say would cost small businesses and consumers $33 million per day, $1billion per month and $1.35 billion each year.
"Under the current system, I lose less money just giving the coffee away. There's something inherently wrong with that," said Dennis Lane, 7-Eleven franchisee and national spokesperson for Reform Swipe Fees NOW. "Congress needs to follow through on the promises they made to those of us on Main Street last year and see that these reforms are enacted once and for all."
(Click here for previous CSP Daily News coverage of convenience store industry swipe-fee reform efforts.)
Reform Swipe Fees NOW! is a project by the Retail Industry Leaders Association (RILA). The project unites U.S. business owners, small and large, in a campaign for fair debit-card and credit-card interchange fees.
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