NFIB Commends Senate on Passing Credit Cardholder’s Bill of Rights

 Contact: Melissa Sharp 202-314-2068

WASHINGTON, D.C., May 19, 2009—Susan Eckerly, senior vice president, public policy for the National Federation of Independent Business, the nation’s leading small business association, released the following statement in response to the U.S. Senate vote passing  the Credit Cardholder’s Bill of Rights (H.R. 627/S.414):

“NFIB commends the Senate for passing the Credit Cardholder’s Bill of Rights. Credit cards provide an important source of credit for many small business owners. According to a 2008 NFIB Small Business Poll, 74 percent of small employers have a business credit card.

“The poll showed that small business owners, as credit card consumers, often experienced industry unfair practices. For example, in the last 12 months, 14 percent did not receive credit for payments until well after the payment cleared, and 11 percent were charged overdraft fees when the overdrafts were the exclusive result of bank holds on some portion of their account.

 

“As credit card consumers, small business owners will benefit from the protections in the legislation against unfair business practices.

 

“Although the Senate did not include the amendment introduced by Senators Mary Landrieu and Olympia Snowe clarifying that the protections in the legislation extend to credit cards used by small business owners, the legislation calls on the Fed to examine and issue a report on credit card use by small businesses.  NFIB will continue to ask Congress to provide small businesses that use credit cards with the same protections as consumers.”