Washinton Needs To StndUpTo Banks On Debt Crd Fee Regs!

Discussion in 'Politics' started by JimofPennsylvan, Mar 24, 2011.

  1. JimofPennsylvan
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    JimofPennsylvan VIP Member

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    In the Wall Street Reform Bill enacted into law last year the Federal Reserve was given the duty to set caps on the debit card fee that banks charge retailers when bank customers purchase a good or service from the retailer with a debit card. The Federal Reserve has proposed capping the fee at 12 cents per transaction, the current average that banks charge retailers is 44 cents per transaction. For the past two months largely the only thing the American people have been hearing on this subject from the banks is the Federal Reserve here will be cutting our profit margin from this debit card business and we will make up that loss in profit margin by adding on fees to bank customers, limiting and denying credit and the like. It is shocking the banks brazen intimidation tactics on this matter. This is nothing personal toward CEO of J P Morgan (the most reputable American Bank), James Dimon, because almost all heads of American Financial institutions act similarly but his comments on this subject reported in the media display this civically irresponsible arrogance of the industry when he said "But, of course, the consumer has got to pay and they weren't paying for debit before."



    The whole public dialogue on this subject should change, the conversation shouldn't be what about the banks loss profit, the conversation should be what is the cost to the banking industry in providing debit service for retailers and what is a fair profit for the industry. The American people should be hearing what do retailers in Asian countries get charged (Executives in Financial Institutions in those countries aren't over paid like they are in America)! The American people want the overpaying of executives and employees in these U.S. financial institutions to stop so that these institutions will be fairer and more civically responsible in their behavior whether it be pushing investment or the fees and they charge for underwriting bonds for government entities or for facilitating businesses to hedge commodity or currency matters, etc.. Washington will never be able to set numerical limits on these peoples salaries but they can set restrained standards, policies and regulations and send these executives and their boards of directors the message that their whole attitude and values need to change. This issue is an opportunity for Washington to prove to the American people they got it their on the job America's Financial Industry needs to be responsible!
     
  2. SFC Ollie
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    SFC Ollie Still Marching

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    What congress should have done is to have kept its nose out of private business. Who are they to tell a Bank what to charge for a service? If they were charging too much those businesses had the right to not accept cards from that bank....

    Now it's probably going to cost the consumer more. Way to fix it congress....
     
  3. Oddball
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    Oddball BANNED Supporting Member

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    Wow...You mean that a bunch of regs were passed telling credit card companies what rates they could and couldn't charge, and the banks found a way to make up for the lost revenue?

    Golly...Didn't see that one coming! :rolleyes:
     
  4. Avatar4321
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    Avatar4321 Diamond Member Gold Supporting Member

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    Radical leftists are overheard sharing a plan to demonize JP Morgan in an attempt to bring about another financial collaspe and a few days later, lo and behold, posters begin attacking JP Morgan.

    Color me surprised.
     
  5. Charles_Main
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    Charles_Main AR15 Owner

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    Normally I am opposed to most government interventions in the private sector. However These banks conspire together and all charge ridicules Rates and fees.

    Have to say I think something should be done about it. The normal laws of economics do not apply, it is not like we can say Fuck you and go to another bank, because they all charge the same high, rates on cards, and transactions.
     
  6. SFC Ollie
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    SFC Ollie Still Marching

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    Saved me time and money when i was working if a customer paid with a credit card or check card. Sure I paid the fees, but it was still easier and cheaper and faster than processing a check. And please don't pay me in cash.....
     

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