December 2, 2022
MBA: Don’t Let The Grinch Steal Your Credit Card Rewards!
As millions of Americans shop during the holiday season using their credit cards that earn reward points, lawmakers in Washington, D.C., are quietly shopping for additional support to pass legislation that would end credit card reward points.
U.S. Sens. Dick Durbin, D-Ill., and Roger Marshall, R-Kan., are talking to senators to encourage their support for the Credit Card Competition Act during the lame duck session. This legislation would dramatically reduce interchange income from credit card transactions while increasing security and fraud risk. MBA has been staunchly opposed to this bill since its introduction.
“Much like the first Durbin amendment that made debit card rewards economically infeasible, this amendment would do the same to credit card transactions as reductions in interchange income make the programs unsustainable,” said MBA President Jackson Hataway. “We are continuing to urge our Sens. Roy Blunt and Josh Hawley to oppose this legislation and to help prevent its addition to the legislative packages being developed in the Senate.”
MBA encourages its members and their customers to contact Blunt and Hawley urging them to oppose the Credit Card Competition Act. Posts made by MBA on social media warn the public to “not let the Grinch steal your credit card rewards.”
“We need our banks and their customers to help us prevent the Credit Card Competition Act from becoming law,” Hataway said. “Help us tell Sens. Blunt and Hawley to keep the holiday season bright by keeping credit card rewards alive!”
MBA encourages banks to share and retweet its post on Facebook, Twitter, LinkedIn and Instagram.
MBA Action Alert: Tell Congress To Pass SAFE Banking Act
With the current session of Congress coming to a close, MBA is once again calling on bankers to contact their lawmakers and urge them to pass the SAFE Banking Act. This legislation supported by the banking industry would enable banks to serve legitimate cannabis businesses in states where it is legal.
Because marijuana is still illegal under federal law, it makes it difficult for financial institutions to serve legitimate cannabis businesses. The federal SAFE Banking Act would enable banks to provide services to cannabis businesses in states like Missouri, where voters approved legalizing cannabis for medical and recreational use.
“The SAFE Banking Act has already been approved numerous times by the U.S. House but hasn’t seen much progress in the Senate,” said MBA President Jackson Hataway. “We encourage bankers to contact Sen. Roy Blunt and Josh Hawley to support this measure.”
MBA is hosting a cannabis banking webinar at 1:30 p.m. Tuesday, Dec. 13. Presented by MBA associate member Green Check Verified, this webinar provides an overview of the cannabis market to equip bankers with the knowledge they need to engage with the legal cannabis industry in Missouri.
State Lawmakers Prefile 2023 Legislation
Measures include MBA-supported bills
This week marked the unofficial start to the 2023 state legislative session as lawmakers are allowed to prefile bills Dec. 1. Three measurers supported by MBA have already been prefiled, with others expected to be filed next week.
- Senate Bill 12 would ensure Missouri banks that issue their own credit cards remain competitive by clarifying current statute that allows them to adopt a contiguous state’s credit card lending law. Sen. Sandy Crawford, R-Buffalo, is the bill sponsor.
- Senate Bill 179 is an ag-friendly bill that would allow banks to offer customers a lower interest rate and better compete with Farm Credit Services. This bill would exempt banks from the net interest income received from ag real estate loans and home mortgages in small rural communities. Crawford also filed this legislation.
- Senate Bill 186 would help protect against ATM/ITM “smash-and-grab” crimes by making it a felony. Currently there is no penalty in law for the specific act of destroying an ATM machine. Bank ATMs in Missouri have been targeted by sophisticated organized criminals in recent months. Sen. Justin Brown, R-Rolla, is the bill sponsor.
“We thank Sen. Crawford and Sen. Brown, for prefiling these measures,” said MBA Senior Vice President David Kent. “We are currently reviewing all filed bills and will provide a summary of those that may be of interest to banks in January.”
A full list of pre-filed House and Senate bills is posted online. As of noon Friday, more than 700 bills have been prefiled. The state legislative session officially kicks off Wednesday, Jan. 4.