Swipe Fee Reform

Credit and debit card swipe fee reform remains one of the retail industry’s top priorities. Card companies and banks collect swipe fees on each transaction where a customer uses a credit or debit card to make a purchase. These fees are set centrally by the credit card companies for the banks, and retailers have historically not been able to negotiate these rates. FMI and the merchant community achieved a great legislative victory upon passage of debit card swipe fee reforms, often referred to as the Durbin amendment as part of the Dodd-Frank Wall Street Reform and Consumer Protection Act (P.L. 111-203). FMI has been successful in defeating efforts to delay the debit card reforms despite significant lobbying by the banking industry.  

The reforms authorized the Federal Reserve Board to determine reasonable and proportional rates for debit card swipe fees. The Federal Reserve released a proposed rule at the end of 2010 and its final rule on the reforms in June 2011. Protecting debit card swipe fee reforms will continue to be an ongoing battle in Washington. FMI remains focused on educating lawmakers about the industry’s concerns over the swipe fee issue and its impact on retailers.


Timeline of Swipe Fee Litigation

FMI believes that the Federal Reserve's final rule on debit card interchange fees failed to reflect the intent of Congress, and FMI is currently a plaintiff in litigation challenging the Federal Reserve Board of Governors’ determinations in the final rule. Click on a timeline date below to see developments and related resources.

Timeline of Debit Card Reform

Click on a timeline date below to see developments and related resources.

Additional News and Statements on Swipe Fee Reform