With the debate over the Durbin interchange fee amendment heating up, we figured it was high time that NerdWallet stepped into the fray to clear a few things up.
While we’ve covered some of the basic facts in the past, more Congressional debates have bred more press and even more confusion on top of it. So our first order of business was to boil down the facts in a way that is clear and easy to understand for anyone who doesn’t spend their days on Capitol Hill. Hence, NerdWallet’s first infographic!
Plus, in order to satisfy our own curiosity we ran a survey to find out what this regulation will really mean for consumers and merchants. We wanted to know what our readers would do if stores started adding surcharges or charging minimums on credit and debit cards. Would they stay loyal to their local merchants and switch to cash? Or would they turn tail and find a store that doesn’t impose on their preferences?
Well it turns out that 70% of our respondents said that they “always” or “often” pay with a credit card for small transactions, and 58% carry three or more credit cards, so clearly they like their cards. And bad news for merchants’ bottom lines – if you break out the big-spender respondents who make more than $100k/yr, 71% of them said they were “not likely” to shop at a store that charges a 2% surcharge on card purchases, and 79% said that if they were faced with a $10 minimum, they would rather leave the store than be forced to meet the threshold. Ouch!