Breaking News: Fed Says Routing Provisions Apply to Card Not Present

07th May 2021
Contributor:
Alex Ellwood
Alex Ellwood

Today, the Federal Reserve (The Fed) has made an announcement in regards to “Regulation II” – which enforces the Durbin Amendment – and states that; “debit card issuers should enable, and allow merchants to choose from, at least two unaffiliated networks for card-not-present debit card transactions, such as online purchases.

The Fed now invites public comment on the proposed changes.

This position was established as part of a larger biennial release on average debit card volumes, fees, fraud and underlying costs – which are tracked by The Fed to ensure that the Debit Interchange caps implemented by the Durbin Amendment remain proportional to the costs of issuers.

Click here to read the full release.

Want to Learn More? Join CMSPI’s Monthly Townhall!

CMSPI’s Retail Payments Townhall is a virtual forum focused on payments acceptance, designed to bring awareness of the key issues, trends & analysis exclusively to merchants, trade bodies and merchant advocates alike.

With an active community of 150+ members, participants come together on the last Wednesday of each month to learn, connect and collaborate on the most pressing payments topics chosen by the group.

Sign up for CMSPI's Monthly Townhall