News Room

FMI Statement on Amendment to Kill Swipe Fees

June 7, 2011
ARLINGTON, VA — June 7, 2011 — Today, Senators Tester (D-MT) and Corker (R-TN) offered an amendment to the Economic Development Revitalization Act of 2011 (S. 782) to delay debit card swipe fee reforms.

“The latest Tester-Corker swipe fee language is no “compromise” and was developed by big banks, for big banks without input from retailers or consumers who are counting the days until reforms take effect July 21,” says Jennifer Hatcher, senior vice president, government relations at the Food Marketing Institute (FMI).

“Masked as a delay bill, the new legislation would effectively kill swipe fee reforms. Any vote to delay the Federal Reserve’s swipe fee rule is premature at this point, since no one has yet seen the Federal Reserve’s final rule,” comments Hatcher. “The Federal Reserve is working on revision to a final rule that is expected to be published in the near future.”

“One thing all Senators have recognized from this debate is that the current system of unpredictable and excessive swipe fees is unfair and unsustainable for the U.S. economy, businesses of all sizes, and American consumers across the nation,” says Hatcher. “However, the Tester-Corker language removes any guarantee that Main Street America will ever see relief from rising debit card swipe fees, and we hope our U.S. Senators will recognize this when the Tester-Corker amendment vote is called.”

“Since 2008, 1 million businesses have gone out of business, eliminating 3.6 million jobs. Swipe fees were a large contributor to those failures. And swipe fee reforms can start to help turn this economy around,” says Hatcher.

Food Marketing Institute proudly advocates on behalf of the food retail industry. FMI’s U.S. members operate nearly 40,000 retail food stores and 25,000 pharmacies, representing a combined annual sales volume of almost $770 billion. Through programs in public affairs, food safety, research, education and industry relations, FMI offers resources and provides valuable benefits to more than 1,225 food retail and wholesale member companies in the United States and around the world. FMI membership covers the spectrum of diverse venues where food is sold, including single owner grocery stores, large multi-store supermarket chains and mixed retail stores. For more information, visit www.fmi.org and for information regarding the FMI foundation, visit www.fmifoundation.org

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