May 10, 2024

Joint Trades Reg III Comment Letter

ICBA and other financial services industry groups urged the Federal Reserve to rescind its proposal to update Regulation II.

In a joint letter, the associations said the proposal would harm consumers and violate the law by prohibiting banks from recovering the costs they incur in providing affordable, safe debit card programs and a reasonable return on that business. It also would benefit large retailers like Walmart and Amazon at the expense of consumers and financial institutions of all sizes, they said.