This is the latest installment in The Official Merchant Services Blog’s Knowledge Base effort. We want to make the payment processing industry’s terms and buzzwords clear. We want to remove any and all confusion merchants might have about how the industry works. Host Merchant Services promises: we deliver personal service and clarity. So we’re going to take some time to…
The Official Merchant Services Blog returns to a topic that it covered thoroughly throughout 2011: The Durbin Amendment. With the Stop Online Piracy Act getting most of the headlines lately, Durbin Amendment’s continued impact on the payment processing industry has gone into stealth mode. Until today that is. Stick with us as we offer a…
Host Merchant Services has been ahead of the curve on the Durbin Amendment, and its impact on the merchant services industry. The amendment takes effect on October 1, 2011. Between now and then The Official Merchant Services Blog is going to link to and analyze a new article from an outside source that discusses the changes brought on by the Durbin Amendment as well as how those changes affect Merchant Services Providers and their customers.
The first article we look at was published by The Green Bay Press Gazette. You’ll find that quite a few of the articles delving into these changes are predicting that consumers will not benefit from the legislation, despite the fact that consumers were specifically cited as the catalyst for this reform. And that’s also what Host Merchant Services predicted with its Durbin Amendment Analysis.
As the Gazette article states:
“Consumers, who are supposed to be protected by the new cap, might not be happy either if banks impose other fees to make up for the lost income.”
The Gazette provides some compelling statistics as the reason for the consumer consternation over the upcoming changes. Specifically noting that initially the Durbin Amendment was supposed to cap swipe fees