Professor Timothy Muris Comments on the Role of Public Authorities in Proposals to Regulate Interchange Fees in Credit and Debit Card Transactions
Professor Timothy Muris was quoted in an article that discussed the Federal Reserve Bank of Kansas City's recent payments conference in Santa Fe, NM, entitled "Interchange fees for the credit and debit card industries: What role for public authorities?"
K.C. Fed Interchange Forum to Pit Networks vs. Merchants American Banker, May 5, 2005. By Lavonne Kuykendall.
"Merchants want to have their cake and eat it, too," said former Federal Trade Commission Chairman Timothy J. Muris, now a professor at the George Mason University School of Law and a consultant for Visa U.S.A. "Obviously, the retailers would like to pay less."
Any regulation that reduces interchange would have negative consequences, he said. "Consumers will be hurt, annual fees will go up, and rewards will go down."