August 4, 2010
For Immediate release
Senator Pierrette Ringuette applauds President Barrack
Obama for signing into law the new credit and debit card regulations in the US
financial reform bill.
OTTAWA –Senator
Pierrette Ringuette praised the President of the United States for finalising
important changes to regulations of the US credit and debit card market by
signing the financial reform bill.
These changes
will empower small businesses by authorizing the US Federal Reserve to create
capping rules ensuring that debit card swipe fees, also known as interchange
fees, that are charged by the major credit card companies will be reasonable
and proportional to the actual processing cost of the transaction.
“These
new regulations will help small businesses and all US citizens, in particular
by giving more influence to small business to negotiate with the large credit
card companies and to limit unfair and uncompetitive practices,” said Senator
Ringuette. “These are important measures and I would remind everybody that we
have these same issues in our own country, Canadians needs these regulations
too.”
Senator Ringuette currently has Senate Public Bill S-201, An Act to amend the Office of the
Superintendent of Financial Institutions Act (credit and debit cards) in front
of the committee. This bill aims to enact regulations similar to those in the
US.
Bill
S-201 arose from recommendation s made by the Standing Senate Committee on Banking,
Trade and Commerce during its study of credit and debit cards in Canada. The
committee urged the government to create an oversight board which would monitor
and ensure fairness in credit and debit card payments systems through
recommendations on fees and rates to the Minister of Finance. Bill S-201 takes
this mandate and applies it to the existing Office of the Superintendent of
Financial Institutions, which already has access to and works with the Canadian
financial industry.
Senator
Ringuette urges all Senators to look at the changes made south of the border
and realize that it’s time to ensure reasonable fees and rates for Canadian
consumers and small businesses, saying “when the Senate returns this fall, I
ask all Senators to take a good look at what our neighbours, and countries all
over the world are doing to help their citizens and to support bill S-201.”
For Additional Information:
Tim Rosenburgh
Office of Senator Pierrette Ringuette
(613) 943-3645