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Small and medium-sized enterprises are the backbone of our economy, It employs nearly half of America’s private sector workforce and has accounted for nearly two-thirds of all new jobs in the United States over the past two decades.
While there is no doubting its influence, the challenges faced by small business owners continue to arise, and in this case, are detrimental, especially as large corporate megastores wield significant influence and resources. . law.
Sen. Dick Durbin (D-IL) and Sen. Roger Marshall (R-KS) are using the credit card routing system to, as they claim, “promote competition” through credit card bills. is proposed to change. In reality, introducing an untested alternative network will fundamentally change the current safe, secure, and hassle-free system. They argue that by leveraging these networks, retailers can reduce costs and pass those savings on to consumers.
However, recent research from the University of Miami shows that show Otherwise. The report found that consumers and small business owners would not benefit at all from this bill. Instead, they will bear the brunt of the bill’s fallout, while Durbin and Marshall’s affiliates, such as Walmart and Target, will reap millions of dollars in profits.
According to the study, the top 100 U.S. retailers could earn nearly $3 billion in profits, with the top five retailers alone receiving $1.2 billion. So where do his less than $500 million in sales fit in?
The report shows that not only will mother-and-child shops not be able to enjoy benefits, they will also lose their own benefits. Small business owners receive approximately $12 billion in credit card benefits when they shop with unique forms of credit.
This bill would jeopardize credit card rewards programs that both businesses and consumers rely heavily on. Rising costs and threatening programs that rely heavily on cash back, points, and rewards programs will further strain already struggling Americans.
This bill is just another way for giant corporations to benefit while already struggling business owners and consumers pay the price.
Other industries also recognize this bill as a threat to consumers, the economy, and the entrepreneurial community. But when these people try to speak out against this bill, they only expose themselves to further threats and harm.
Recently, the results of a study from Airlines for America (A4A) were released. found The Durbin-Marshall Credit Act will cause significant damage to the travel and tourism industry and the economy as a whole, with total losses expected to reach $23 billion. Many Americans rely on credit card rewards and loyalty points when they travel, and they can’t afford to lose these benefits.
Not surprisingly, the group voiced its opposition to the bill. In response, Sens. Durbin and Marshall launched a retaliatory campaign, calling on the Department of Transportation and the Consumer Financial Protection Bureau (CFPB) to report allegations of “deceptive practices in frequent flyer and loyalty programs” in the airline industry. pressured to monitor. (Despite the fact that just a few years ago, Sen. Marshall criticized others through Congress for exactly the same thing. Don’t weaponize IRS laws. )
The senators’ efforts to weaponize their political power and that of the federal government demonstrate that they will do whatever it takes to support their corporate allies in blatant disregard for the interests of the American people. It just emphasizes your attitude.
Despite this bill’s claims, Americans need to know the truth – this bill will not help consumers or small businesses. The only people who stand to make a penny are the big corporations and the senators who line their pockets. Let’s stop this bill once and for all.
