READ: ‘It’s Time for Congress To Ensure Real Competition in the Credit Card Market’

June 12, 2023

NFIB State Director Dan Murray highlights small business support for Sen. Marshall’s Credit Card Competition Act

READ: ‘It’s Time for Congress To Ensure Real Competition in the Credit Card Market’

EMPORIA (June 12, 2023) – “Small business owners and their customers are suffocating under the weight of credit card fees, which have more than doubled in the past decade,” NFIB State Director Dan Murray writes in an op-ed for The Emporia Gazette. “Because there’s no real competition in the credit card industry, no one is exempt.” “Thanks to Sen. Roger Marshall’s leadership, Congress has an opportunity to provide relief. The bipartisan Credit Card Competition Act of 2023 would require credit card companies to offer at least two networks on each credit card, finally opening the credit card companies to competition. As a result, small business owners would be able to choose the most affordable network.” CLICK HERE to read the full op-ed. Excerpts are below. Small Business Owners Applaud Sen. Marshall’s Credit Card Competition Bill The Emporia Gazette Dan Murray June 10, 2023 Take for example, your favorite BBQ joint. You’d be correct in assuming that the restaurant owner sets the prices of all the items from the menu to the little bottles of sauce at the counter. But when you go to check out, the credit card company, not the small business owner, sets the price on not one, but two distinct charges. That small business owner has no control over the fees that credit card companies impose. […] That money goes straight from the small business owners’ hands to the bank that issues the credit card. Why do credit card companies get to determine the price your BBQ restaurant pays to the banks? They’re a third-party service. Surely, in a competitive market, one business should not dictate what one business must pay to another unrelated business. […] Something has got to give. Readers are well acquainted with the economic headwinds our state is facing. Whether it’s historic inflation that continues to put pressure on prices, or the gap in services left by the worker shortage, Kansas families have felt the pinch. Job creators, from Goodland to Emporia, are also struggling in this economy. Yet year after year, credit card companies raise their fees, leaving small businesses with little options and no negotiating power. Thanks to Sen. Roger Marshall’s leadership, Congress has an opportunity to provide relief. The bipartisan Credit Card Competition Act of 2023 would require credit card companies to offer at least two networks on each credit card, finally opening the credit card companies to competition. As a result, small business owners would be able to choose the most affordable network. […] A small business owner from Auburn shared that between credit card and bank fees, his profit margin was cut in half. Instead of passing those costs on to their clients, this family-owned business takes the hit. But not all small business owners can afford to do this, and as fees continue to skyrocket, there will be fewer who make that choice. […] Kansans from all walks of life benefit when small businesses can meet their customers’ needs, create good-paying jobs, and invest in their communities. […] It’s time for Congress to ensure real competition in the credit card market. It’s time to pass the Credit Card Competition Act of 2023. CLICK HERE to read the full op-ed. Background: Last week, Sen. Marshall re-introduced the Credit Card Competition Act of 2023, a bipartisan and bicameral bill that would provide much-needed competition in the credit card processing market. NFIB President & CEO Brad Close joined Sen. Marshall and other senators at a news conference today in Washington, D.C. CLICK HERE to learn more.

Topics:

Competition

State:

Kansas

Get to know NFIB

NFIB is a member-driven organization advocating on behalf of small and independent businesses nationwide.

Learn More