Majority of Voters Support Federal Action on Credit Card Fees
WASHINGTON, D.C. — A broad, bipartisan majority of likely voters want Congress to pass the Credit Card Competition Act (CCCA), with both Democrats and Republicans more likely to support Senate candidates who back the measure, according to a new survey released by the Merchants Payments Coalition (MPC).
The CCCA would require banks with at least $100 billion in assets to enable cards they issue to be processed over at least two unaffiliated networks — Visa or Mastercard, plus a competitor like NYCE, Star, Shazam or Discover. Meanwhile, merchants would be free to decide which enabled network they would prefer to use.
"These results are clear: Americans by huge margins want Congress to do something about out-of-control credit card swipe fees that are driving up costs for small businesses and prices for consumers," MPC Executive Committee member and NACS General Counsel Doug Kantor said. "These fees have an impact on families across every sector of our society and virtually everyone wants competition to fix this broken market."
According to the survey, 55% of likely voters in this fall's general election support the CCCA while only 7% oppose it, and 38% are unsure. Supporters outnumber opponents by nearly 50 percentage points.
Additionally, the survey found 42% of voters are more likely to support a Senate candidate who supports the bill, with only 7% less likely to do so. Among Democrats, 46% favor a candidate who supports the bill while only 6% would more likely oppose the candidate. Among Republicans, 41% favor a CCCA supporter while only 7% would lean against them based on the CCCA.
Bill opponents have claimed the CCCA would cause a reduction in credit card rewards, but surprisingly, 37% of respondents said the loss-of-rewards message would make them more likely to support the bill, with only 15% less likely to support it.
The results come after a federal judge recently rejected a proposed settlement in a nearly 20-year-old class-action lawsuit over Visa and Mastercard credit card swipe fees, calling the temporary reduction in fees "paltry." The judge also noted that experts indicated the fees had been rising year over year.
Overall swipe fees hit a record $172 billion last year and are most merchants' highest operating cost after labor, potentially driving up prices by more than $1,100 a year for the average family.
The survey of 2,040 likely general election voters was conducted June 3-6 by the polling firm co/efficient through mobile phone texts and landline telephone interviews. The results were weighted by age, gender, education level, race, region and self-reported political party and have a margin of error of plus or minus 3.17%.
The Merchants Payments Coalition represents retailers, supermarkets, convenience stores, gasoline stations, online merchants, hotels and others fighting for a more competitive and transparent card system that is fair to consumers and merchants.