Headline News: Affecting All US Business Owners Accepting Credit Cards!

Dodd-Frank Act Turns One — Merchants and Bankers React

Because of the recent hullabaloo and upcoming changes concerning federally imposed restrictions on the swipe fee charges that banks are allowed to impose on merchants, all the parties involved are getting creative. In total, merchant services are being improved. As both merchants and banks look for new ways to keep the cash flowing, reports have begun surfacing about an advent of “merchant debit rewards” programs. It seems that in the wake of the widespread shuttering of debit-card rewards programs at banks, merchants decided to make it their business to pick up some of the slack.

How are they going about it? For starters, they’re coaxing, with some pecuniary incentives, no doubt, their sometimes oppositionally situated financial partners into taking part in a twist on the suddenly old-school “bank debit rewards” programs. The deal involves merchants reaching into their own cash coffers to bankroll, if you will, consumer discounts at their stores. In exchange for encouraging account-holders to shop at the designated stores, the ingenious merchants are also paying a minor fee to the participating banks. Win-win-win-win, so far. (Merchant, merchant services provider, bank, consumer.)

But not all banks are taking the bait. It’s expected that more banks will warm more easily to the inventive deal once already-participating institutions begin to see profits and the full repercussions of the impending federal caps on swipe fees are known. The New York Times is reporting that Beneficial Bank, Ally Bank, and the South Carolina Federal Credit Union have already formed partnerships with merchants to get in on the new discounts programs. As for the never-lacking-in-initiative merchants, the roster of current participants includes Sports Authority, Amazon, Subway, and even Apple via iTunes. Some over-hanging controversy throwing shade on the deals is that it they provide a way for advertising to reach consumers’ personal bank statements.

Only time will tell how many more banks decide to get on board the bandwagon. Consumers also will have a say if they will pay with debit cards or request merchants keep accepting credit card payments from them. Meanwhile, merchants continue to seek out more ways to make the most of dwindling, but still available, resources and the nation’s banking centers continue to push for their vision in the aftermath of the one-year anniversary of the Dodd-Frank Act.


  1. by: Hayle - September 1st, 2011 at 8:53 am

    I was looking everywhere and this popped up, I like it!

  2. by: J Puff - September 1st, 2011 at 8:00 pm

    i love your blog, i have it in my rss reader and always like new things coming up from it.

  3. by: Annabelle - September 5th, 2011 at 9:50 am

    Wonderful write up. We are going to be linking to this wonderful write-up on our internet site. Sustain the nice creating. Annabelle

  4. by: Wolak - October 19th, 2011 at 8:53 pm

    hi-ya i found your site today and I have read some awesome articles here. I just wanna thanks you for sharing!

  5. by: A. Nucci - November 5th, 2011 at 2:44 pm

    Nice blog post. – I think the community will love your posts too. Rgds; A. Nucci

  6. by: aaron - November 17th, 2011 at 2:49 pm

    Hello: I found your website today and I have read some good information. I just wanna thank you for publishing it so we all can learn!

  7. by: Jerrold Manellanez - December 25th, 2011 at 1:46 pm

    Would love to perpetually get updated, great blog!

  8. by: Kara J - January 3rd, 2012 at 1:38 pm

    I was extremely pleased to access this page. I have to thank you for this particular remarkable read!! Absolutely appreciating every word of it and i also saved as a favorite to follow all new stuff you post.

  9. by: Herman L - January 12th, 2012 at 3:33 am

    Heya i’m for the primary time here. I came across this board and I to find It really useful, it helped me out much. I hope to provide something back and help others such as you helped me.

  10. by: Necole Rabi - January 12th, 2012 at 5:27 am

    I got good info from your blog

  11. by: FP - January 13th, 2012 at 4:29 am

    Nice piece of facts that you’ve got in this website article. Hope I can get some a lot more of this stuff on your weblog. I’ll return again soon. Thanks!

  12. by: serwis cakupaw - January 24th, 2012 at 6:52 am

    This is helpful information for me and other folks that weblog every single day. All of these posts are really informative. Thanks!

  13. by: Mike Jewell - February 2nd, 2012 at 9:15 am

    Awesome post! I will keep an on eye on your blog.

  14. by: Alissa Gotto - February 7th, 2012 at 6:28 pm

    Thanks for the article, it was interesting and compelling. I found my way here through Google, I will return another time soon :)

  15. by: Tina Kittler - February 20th, 2012 at 9:25 pm

    I really appreciate this post. I’ve been looking everywhere for this knowledge! Thank goodness I found it on Bing. You’ve made my day! Thanks again

  16. by: Sean Cho - March 6th, 2012 at 11:06 pm

    I would like to thank you for the efforts you’ve put in writing this blog. I’m hoping to check out the same high-grade blog posts from you in the future as well. In truth, your creative writing abilities has encouraged me to get my own site now ;)

  17. by: wayne mclean - March 9th, 2012 at 2:38 am

    Whoah this blog is magnificent i really like reading your articles. Keep up the great writings! You recognize, lots of individuals are hunting around for this info, you can aid them greatly.

  18. by: Steffano Bortowski - March 13th, 2012 at 2:36 pm

    I was on Twitter looking for merchant tools when I found a link to this blog, happy I stopped by Cheers

  19. by: Silvia Prowthish - March 21st, 2012 at 1:37 pm

    I needed to thank you for this fantastic read!! I’ve got you saved as a favorite to look at new things you post…

  20. by: Dina Palmero - April 3rd, 2012 at 11:56 pm

    Aw, this was a really nice post. An idea I want to put in writings like this moreover – taking time and actual effort to make a very good article… but what can I say… Great work!

  21. by: tabata - April 15th, 2012 at 10:10 am

    I like your fantastic web site. Just what I was searching for!
    Best regards

  22. by: Les Crandel - April 16th, 2012 at 10:29 pm

    Youre so cool! I dont suppose Ive read anything like this before. So nice to seek out any person with some original thoughts on this subject. realy thanks. this website is one thing that is needed on the internet, someone with a little bit originality. helpful job for bringing one thing new to the web!

  23. by: Melvin Dowlen - July 8th, 2012 at 6:52 am

    Saved this web site and added your current RSS feeds to my mobile phone, enjoyed reading this content whole lot man! Thanks for an all-around interesting web site!

  24. by: Milana Lochent - September 16th, 2012 at 12:24 am

    OMG! I just saw this! Thanks! This actually made my day!

Leave a Comment

9 − = five


Reload Image