Beyond the Rhetoric: The Durbin Amendment Cuts Like a Knife

Harry C. Alford | , Special to Informer | 3/14/2012, 11:22 a.m.

On the other hand, big retailers are racking in big bucks. Prior to Durbin, $1,000 purchases would have cost a merchant $15.02 in fees. They now only have to pay 72 cents per transaction.

Don't think for one minute that WalMart, Target, etc. will be passing these savings on to you. Ha! That money will be reported to their stock holders. Our small stores will have to "bite the bullet" or raise their pricing accordingly. For example, popular Red Box, the vending machine for DVD rentals, is increasing its price from $1 to $1.20. Consumers will pay for the consequences of the Durbin Amendment. Many small retailers will probably have to close some of their stores to offset or adjust to the increased costs.

The Durbin Amendment is evil! Like the conflict cotton situation, the National Black Chamber of Commerce is committed to fighting this situation. We will not let it pass by us. We encourage all of you to join in and inform your congressional representatives that this amendment is not good for the economy and hurts the common man. The emergence of the debit-card is a fine and positive alternative to check cashing and payday lending operations. It gets our new consumers into the banking system and teaches them how to budget and manage their precious cash resources. This Durbin Amendment puts it under attack and threatens the financial future of millions of up and coming consumers and entrepreneurs. We do not need adverse, mean spirited and tricky legislation to become another economic parasite to our communities.

We need good policy. Bad policy should be quickly removed and the Durbin Amendment is in our "pockets" munching on our precious money. In God's name, REPEAL THE DURBIN AMENDMENT!!

Mr. Alford is the co-founder, President/CEO of the National Black Chamber of Commerce. Website: www.nationalbcc.org. Email: halford@nationalbcc.org