Oppose HB 2394: Pennsylvania Interchange Legislation
Contact Your Representative Today
HB 2394 would prohibit financial institutions, including credit unions, that issue and service credit and debit cards from charging their contractually negotiated interchange fee on the sales tax portion of consumer transactions that occur in Pennsylvania. HB 2394 could be voted on by the Pennsylvania House of Representatives as early as next week.
Read the joint letter CrossState sent to the Pennsylvania House of Representatives on Monday.
Enactment of this Legislation Would:
- Address NO public issue or problem
- Provide NO consumer protection or benefit to cardholders
- Solve NO State of Pennsylvania problem
- Initiate NO improvement in the electronic payment system
- Have NO net benefit to small businesses and restaurants
The Repercussions of this Legislation Would:
- Require issuing credit unions and banks, locally, nationally, and internationally, to decide if they are willing to accept Pennsylvania transactions under this law.
- Require those same credit unions and banks to decide how they were willing to accept Pennsylvania transactions.
- Require notification of more than 7 million Pennsylvania card holders of the changes required by this new Pennsylvania law.
- Necessitate new procedures, software, and likely new terminal hardware at more than 100,000 Pennsylvania merchants.
- Force card processing companies that process Pennsylvania transactions to develop, test, and establish new software and protocols to account for separating each transaction and maintain data on each purchase to permit auditing.
- Likely provide NO net benefit to small and medium size Pennsylvania retailers.
Please help protect consumers, card holders, small retailers, and credit unions from a poorly designed chain store/big box giveaway by contacting your State Representative today.