Retailers to Fed: Debit Card Fees Illegal
A collection of retail trade groups have filed a lawsuit against the Federal Reserve.
A collection of retail trade groups have filed a lawsuit against the Federal Reserve, arguing that the transaction costs from debit card companies are illegal, The New York Times reports. The Fed allows debit card companies to charge an additional fee to pay for fraud security.
The trade groups maintain that those transaction charges violate the Dodd-Frank regulation legislation that passed last month. Retailers have said that the banks’ rising transactions fees have forced them to increase prices.