The trade association America’s Credit Unions is sounding the alarm about a bill that Sens. Dick Durbin (D-IL) and Roger Marshall (R-KS) are trying to pass, with president and CEO Scott Simpson warning that payment systems with weak security may be used as a result.
\n\nThe Credit Card Competition Act (CCCA) was first proposed by Durbin and Marshall in 2022 before they reintroduced it in January, arguing that it would “increase competition in the credit card market and put an end to the Visa-Mastercard duopoly.” Originally, the legislation was cosponsored by then-Sen. JD Vance (R-OH), and Sens. Peter Welch (D-VT), Josh Hawley (R-MO), and Jack Reed (D-RI).
\n\nUnder the current system, merchants who accept credit cards get locked into whatever payment system that card runs on, and pays whatever fee that network charges. Visa and Mastercard dominate over 80 percent of the market.
\n\nIf passed, the CCCA would require banks with more than $100 billion in assets to offer merchants a choice of at least two networks over which a credit transaction can be processed, including one that is neither Mastercard nor Visa.
\n\nWhile proponents argue that the legislation would benefit merchants by lowering operational costs associated with accepting Visa…
Original source: https://www.breitbart.com/economy/
