Press Releases

FOR IMMEDIATE RELEASE Elise Brooks, (202) 589-2427 Roundtable Cautions Against New Rule on Debit Cards Washington, D.C.—December 16, 2010—The Federal Reserve today announced new rules capping interchange fees which will likely increase the cost of debit cards for consumers. A new study by the Fed reports that use of debit cards has grown by almost 15% from 2006 to 2009, and is worth $1.5 trillion. The Fed rule, mandated by the DFA, is simply a shift of merchants' operating costs to consumers.  “Debit cards are a lifeline for the American consumer,” said Steve Bartlett, President and CEO for the Roundtable. “These new rules will drastically change the way we are accustomed to paying, and could potentially damage our economic recovery. We must proceed with extreme caution.” Currently, debit card purchases account for 35% of noncash transactions. This measure could decrease the attractiveness of debit card usage. The Financial Services Roundtable represents 100 of the largest integrated financial services companies providing banking, insurance, and investment products and services to the American consumer. Member companies participate through the Chief Executive Officer and other senior executives nominated by the CEO. Roundtable member companies provide fuel for America's economic engine, accounting directly for $74.6 trillion in managed assets, $1.1 trillion in revenue, and 2.4 million jobs. # # #