June 03, 2014

WSJ, Reuters: Merchants want debit rule case reviewed by Supreme Court

June 3, 2014 – Merchant groups told news outlets Monday that they will petition the Supreme Court for a review of their suit against the Federal Reserve Board over the Fed's debit interchange rule.

A federal appeals court, overturning a lower court ruling, decided March 21 to uphold the Federal Reserve's debit interchange rule. Representatives of the National Association of Convenience Stores and the National Retail Federation were quoted in The Wall Street Journal, Reuters and other news outlets saying the groups plan to pursue the review.

The merchant groups on Friday requested more time to submit their petition for Supreme Court review. They currently have until June 19 to file and want that extended to July 21.

NAFCU continues to closely watch developments from this case.

NAFCU hailed the appeals court ruling as a win for credit unions but still views the Fed's debit interchange fee cap as too low. The association continues to advocate on behalf of its members for preserving credit union interchange fee income.

The Fed's current rule sets a cap on charges to retailers at 21 cents per debit card transaction, not enough to provide a reasonable return.