Regulated debit card transaction fees in the spotlight again!

On July 31st the Supreme court struck down the Fed’s 2011 ruling on Regulated Debit interchange fees. The Fed had

set the cap at $0.22 per transaction which included fraud protection costs. This will now open up the dialogue again as to what the cap will be per transaction for Regulated Debit cards. It is believed that they will set the new transaction rate around $0.12-$0.15 per transaction. This will dramatically reduce the processing costs for merchants. The big question still remains though. Will retailers pass the saving on to their customers by lowering what they charge on items? This was the whole intention of Regulated Debit back in 2011 and time has proven that retailers did not reduce the price of goods to consumers.