Debit Swipe Fees to be Cut

According to the Associated Press, the Senate voted Wednesday to let the Federal Reserve cut fees that banks charge stores when purchases are made by using a debit card. Senators who did not support the proposal fell six votes short of the 60 that were needed to decline the price cut (a vote of 54-45). Currently, stores are charged 44 cents for every debit card that is swiped, which amounts to more than $16 million annually to banks and credit card companies.

In the suggested revised plan, the Federal Reserve wants to limit charges to 12 cents for every debit card transaction. A final ruling on the issue must be made by July 21.

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