Consumers are expected to pay the ultimate cost of the effects of the Durbin Amendment as stores collect more money from card swipes.
As a result of the swipe fee changes that will be enacted by the Durbin Amendment, bank fees and account requirements are expected to rise, according to Moneyland.
The L.A. Times reports that Chase is testing a flat $3 monthly fee for its own customers who use a debit card. Other banks are expected to institute similar fees and account requirements to increase the amount of money collected.
Some changes, experts have said, might include monthly fees, higher minimum account balance requirements and a daily cap on much can be spent on debit cards.
“They’re all testing the market and seeking the right price,” Richard Hunt, president of the Consumer Bankers Association, told the L.A. Times. “It’s a mathematical certainty the consumer will bear the cost.”
Bill Hardekopf of the credit card-shopping hub LowCards.com said in a press release that swipe fees could result in higher monthly bank account fees, higher ATM fees and a reduction or complete eradication of debit card rewards programs.
“The regulations on debit card interchange fees scheduled to go into effect in one month will reduce the revenue to banks,” Hardekopf said, Moneyland reports. “These institutions will, in turn, charge consumers more for banking services. The consumer will likely not see any benefits from retailers because swipe fees are embedded in product prices. The retailers have clearly won this battle, while banks and, in the end, consumers will end up as the losers.”