Last week Financial Innovation Now (FIN), an alliance of companies which includes Fintech behemoths innovator Amazon, Apple, Google, Intuit and PayPal, spoke out against language used in the Financial CHOICE Act that would repeal debit swipe fee reform. In a letter penned by FIN Executive Director Brian Peters and addressed to US House of Representatives Speaker of the House Rep. Paul Ryan and Minority Leader Rep. Nancy Pelosi, FIN identifies debt reform’s promotion of payment innovation and tech advancement, identifying that “lower debit fees and improved routing choice have meaningfully spurred competition and technological development. Payment innovators are building on this opportunity to deliver real solutions to the marketplace, and more is on the way. This innovation should not be foreclosed.”
The letter urges Congress to examine options “to speed commerce and lower payment costs by scrutinizing technological barriers to payment security and explore ways to foster payment authentication methods that are more standards-based, open, and interoperable.” In addition, FIN strongly suggested that Congress “consider the potential for risk-based network fees as a market-based solution to incentivize better security, decrease fraud, and lower costs for consumers and businesses.”
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