Earlier today, the house conferees in the Wall Street reform conference committee voted to approve the swipe fee compromise that was forged yesterday. As the compromise stood yesterday, banks and major credit card companies were set to lose billions in profits every year, thus denting their concentration of wealth and power. Also, some of the money will be passed along to small businesses, charities, and consumers.
On the Senate side of the Wall Street reform conference, however, New York Senator Chuck Schumer is still trying to protect the profits his wealthiest, most powerful constituents. Sources close to the process have told me that, in conjunction with major credit card lobbyists, Schumer is currently trying to get Republicans to offer a new amendment in the conference committee that would gut the compromise deal. Schumer has been working to defeat any regulation of credit and debit card processing fees all along.
Schumer is attempting to lower the visibility in his role fighting against swipe fee regulation, which is why the current plan is to have Republicans in the conference committee offer the amendment.
More developments as they come in. This process may conclude tonight, and more likely will conclude tomorrow.
Update: The Senate has accepted the swipe fee compromise forged yesterday. There is still talk of a Republican introduced, Schumer-backed amendment to gut the regulation tomorrow, however.
STATE BLOGS
