The Hill News

This holiday season, millions of Americans paid for holiday gifts with a debit card instead of using cash because of the efficiency, convenience and security. However, thanks to the efforts of several large retailers and their lobbying operations, consumers may find all of those things at risk. This week, the Federal Reserve proposed rule changes which, if adopted, would severely limit financial institutions’ ability to maintain debit card systems in the manner consumers expect. These proposals would affect the “interchange” process, or the amount that merchants pay for a secure, smooth-running debit card transaction. 

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