Jason Stverak, Chief Advocacy Officer for the Defense Credit Union Council (DCUC), said that the Credit Card Competition Act would benefit large retailers at the expense of secure payment systems, consumer protections, and military financial access. The statement was made on X.
“The Credit Card Competition Act is not about competition,” said Stverak. “It’s about lining the pockets of big box retailers at the expense of secure payment systems, consumer protections, and financial access for military communitie.”
According to Congress.gov, the Credit Card Competition Act of 2023, introduced in the Senate as S.1838, aims to enhance competition in the credit card market by requiring larger financial institutions to offer at least two network options for transactions. The bill seeks to reduce merchant costs associated with credit card fees. Proponents argue that increased competition among networks could benefit consumers through lower prices.
The Electronic Payments Coalition reported that the Credit Card Competition Act of 2022 failed due to strong opposition from small financial institutions and credit unions, which argued it would reduce revenue used to fund fraud protection and consumer rewards. The coalition said that the legislation would have led to fewer choices and higher consumer costs. Additionally, they noted that it would have disrupted the existing payment infrastructure.
Airlines for America indicated that the Credit Card Competition Act of 2023 could negatively impact Michigan’s travel and tourism industry. The organization argues that increased processing costs resulting from the bill might lead to higher airfare and reduced service availability. They say such economic impacts could affect both consumers and local businesses reliant on air travel.
Stverak has served as Chief Advocacy Officer for DCUC since April 2024. Based in the Washington DC-Baltimore Area, he leads the organization’s efforts in government affairs and legislative advocacy. His work supports credit unions that serve members of the U.S. military and their families.
