Small business owners oppose reintroduction of credit card mandates
Small business owners from across the country voiced their opposition to attempts to include the Durbin-Marshall credit card mandates in legislation before the Senate. The small business advocates — members of the Small Business Payments Alliance (SBPA) — called on Congress to protect small businesses from misguided mandates.
During the most recent committee hearings on the Durbin-Marshall credit card bill, small business owners submitted testimony in opposition and the full testimonies are available on the SBPA website.
“Unfortunately, the proposed legislation would make the credit card payment system less secure because it would require banks to expose cards to likely unsafe payment networks. This would put our customers at a higher risk of fraud and data breaches, and put our business and our reputation at risk. All it takes is one fraudulent transaction for us to lose a customer’s business.”
– Ken Katz, owner of Buenos Dias Café (Atlanta, Georgia)
“Credit card mandates could have severe consequences for small businesses like mine that rely on secure, dependable, and rewarding payment processing. I respectfully ask you to consider the impact this legislation would have on the small businesses that are the backbone of our economy.”
– TJ Tillman, Level 1 Arcade Bar & Outcast Doughnuts (Arizona)
“As a business owner who values the safety and convenience that credit cards offer my customers, not to mention the stability they provide for my business, I urge lawmakers to seriously consider the potential ramifications. This bill poses more threats than benefits for small businesses nationwide. The focus should be on protecting our communities, ensuring access to credit, and maintaining the security and trust our customers rely on.”
– Tammeca Rochester, owner of Harlem Cycle (New York City)
Durbin-Marshall credit card mandates are a direct threat to the electronic payments and rewards system and would have a major negative impact on small business owners who use credit cards and rewards to run their businesses. The legislation would circumvent the competitive market with a new government routing mandate that would dictate processing networks, without regard to security or quality. A recent study revealed that the bill would “disproportionately benefit the top five businesses in the U.S.” while “costing small businesses over $1 billion in lost rewards as well as a decline in access to credit.”
