Sen. Durbin Defends Reform Despite New Bank Fees This past week, Bank of America announced plans to charge most of its debit card users $5 a month if they use the card to make purchases. The decision is meant to offset anticipated revenue losses from regulatory changes that took effect on Friday. Democratic Sen. Dick Durbin of Illinois introduced those changes to last year's Dodd-Frank financial reform legislation. Durbin joins host Audie Cornish to explain why he thinks the legislation is important.
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Sen. Durbin Defends Reform Despite New Bank Fees

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Sen. Durbin Defends Reform Despite New Bank Fees

Sen. Durbin Defends Reform Despite New Bank Fees

Sen. Durbin Defends Reform Despite New Bank Fees

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  • <iframe src="https://www.npr.org/player/embed/140988893/140988925" width="100%" height="290" frameborder="0" scrolling="no" title="NPR embedded audio player">
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This past week, Bank of America announced plans to charge most of its debit card users $5 a month if they use the card to make purchases. The decision is meant to offset anticipated revenue losses from regulatory changes that took effect on Friday. Democratic Sen. Dick Durbin of Illinois introduced those changes to last year's Dodd-Frank financial reform legislation. Durbin joins host Audie Cornish to explain why he thinks the legislation is important.

AUDIE CORNISH, Host:

Bank of America blames its new debit fee on the Durbin measure. Senator Durbin disagrees.

DICK DURBIN: Secondly, let me tell you something else. Retailers across America are finally going to get a break. They've been pushed by Bank of America and the biggest banks to pay swipe fees that are imposed on them, with no power of the retailer to even bargain. That has to come to an end.

CORNISH: We reached Senator Durbin this past week while Congress was in recess. He was on the road and Rock Island, Illinois. Durbin says at least the new rules are more transparent and they rein in what he views as excessive profit-taking on the part of big banks.

DURBIN: Incidentally, you know what the slight fee is for Visa and MasterCard for debit cards in Canada? It's zero. They don't charge anything. Forty-four cents a transaction in the United States.

CORNISH: Democratic Senator Dick Durbin speaking with us from the road in his home State of Illinois.

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