Credit Card Exec Bonuses: Spotlight Turned On Their $$$

Robert Johnson, president of Consumers for Competitive Choice (C4CC), issued the following statement in response to The New York Times’ story titled, “Wall St.’s Biggest Bonuses Go To Not So Big Names”:

“I commend The New York Times for highlighting the incredible bonuses being doled out to the executives of the Big Three credit card companies and their issuing banks. The ‘Millionaire’s Club’ that exists for Wall Street bankers and traders, is often paid for by swiping their membership dues from small businesses and consumers through unreasonable credit card rates and fees. So while credit card CEOs collect million dollar bonuses, Main Street retailers across the country face skyrocketing credit card swipe fees and struggle just to keep the lights on.

“Credit card companies and big banks collected $45 billion in revenue from merchants resulting from interchange “swipe” fees last year alone. Studies have shown that only 13% of interchange fees are actually needed to cover the cost of processing the transaction, while 35% of the fee goes towards profits. Commonsense credit card interchange fee reform is needed now, so that small businesses and consumers can keep some of their hard-earned money.

“I hope that by continuing to draw attention to this critical issue – Congress will take swift and appropriate action, and immediately address swipe fees. Small businesses and consumers have been paying for credit card company greed for far too long.”

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About The Credit Card Con

The Credit Card Con is a project by the Consumers for Competitive Choice. For more information, visit the Credit Card Con website at www.thecreditcardcon.com.

press release

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