WASHINGTON—Sen. Roger Marshall (R-KS) has filed an amendment seeking to attach the Credit Card Competition Act (CCCA) to the GENIUS Act (S.1582). ‘
As CUToday.info has reported, America’s Credit Unions and the Defense Credit Union Council have opposed the CCCA, arguing the legislation to extend interchange routing requirements to credit cards will hurt consumers, small businesses, and credit unions while “big box” retailers add to their profits.
The GENIUS Act is a bill that would establish federal oversight of payment stablecoins.
The CCCA has been introduced in previous congressional sessions but has consistently lacked the support needed to pass as a standalone bill.
America’s Credit Unions Tuesday sent a letter to the Senate urging opposition to the amendment.
“This interchange language has no place in the GENIUS Act. It would drive up costs for Main Street America—consumers, small businesses and small financial institutions, including credit unions,” said Jim Nussle, America's Credit Unions president/CEO.“The disruption to the credit card payment system would negatively affect consumers’ access to needed credit and services they depend on. This amendment is a poison pill to the legislation, and we urge Senators to oppose it as it would hurt hardworking Americans.”
DCUC Monday night sent a letter to the Senate urging the exclusion of the CCCA from the GENIUS Act or any other legislative package moving forward on the Senate floor.
In its letter, DCUC said it strongly opposes the CCCA and its “harmful implications” for financial readiness, cybersecurity, and consumer protection.
“Including this controversial and unvetted legislation in a critical economic and supply chain bill would be a major setback for servicemembers and their families who rely on safe and affordable credit access,” wrote DCUC Chief Advocacy Officer Jason Stverak.
“The Credit Card Competition Act—first introduced under the guise of promoting ‘competition’ in the payments system—represents a fundamental threat to the operational stability of credit unions serving our nation’s military and veteran communities,” wrote Stverak. “The legislation, as drafted, would mandate routing requirements that strip away the ability of credit card issuers to choose secure, reliable payment networks. Instead, it forces the hand of financial institutions—large and small alike—to facilitate transactions through potentially less secure, untested, or foreign-controlled networks.”