K-STREET, 10,000 FEET: Dick Durbin set to introduce controversial credit card bill: “Republicans should oppose it.”
THE LOWDOWN:
Illinois Democrat Senator Dick Durbin is poised to reintroduce a controversial credit card bill that could have disastrous effects on the U.S. economy.
The bill would require the Federal Reserve Board of Governors to regulate network competition in credit card transactions. However, this bill has potential downsides of slowing down the economy, resulting in a potential $227 billion economic activity loss and approximately 156,000 jobs lost, according to an Oxford study.
A person close to President Donald Trump told the Washington Reporter that “Dick Durbin opposed all of Trump’s nominees” and that the Illinois Democrat “is now opposing his pro-American growth agenda by introducing a Big Retail/woke credit card act.”
Durbin’s home state of Illinois recently passed a similar bill, providing corporate megastores with a massive financial windfall while mom and pop shops and other small businesses were left out to dry. On top of that, consumers in Illinois were left footing the bill of the legislation.
Sen. Dick Durbin (D., Ill.) is poised to reintroduce a controversial credit card bill that could have disastrous effects on the U.S. economy.
Durbin is set to reintroduce the Credit Card Competition Act to the Senate, a bill he brought to the upper chamber last Congress.
The bill would require the Federal Reserve Board of Governors to regulate network competition in credit card transactions. However, this bill has potential downsides of slowing down the economy, resulting in a potential $227 billion economic activity loss and approximately 156,000 jobs lost, according to a 2025 study from top global economic forecaster Oxford Economics Research.
A person close to President Donald Trump told the Washington Reporter that “Dick Durbin opposed all of Trump’s nominees” and that the Illinois Democrat “is now opposing his pro-American growth agenda by introducing a Big Retail/woke credit card act.”
“Republicans should oppose it,” the person said.
Durbin’s home state of Illinois recently passed a similar bill, providing corporate megastores with a massive financial windfall while mom and pop shops and other small businesses were left out to dry. On top of that, consumers in Illinois were left footing the bill of the legislation.
The Illinois law would prohibit credit card companies from imposing interchange tax fees on tips and sales taxes associated with commerce in the state. It’s projected that ten large retailers will absorb over 21 percent of the estimated $118 million reduction in the fees.
Additionally, 1.3 million small businesses in Durbin’s home state would only expect to save only $56 on average — each — and the same businesses would have to pay more money to upgrade their payment systems.
