NEW: Cicilline Introduces Bill to Ban Debit Card Fees
Thursday, October 20, 2011
Following announcements by several big Wall Street banks of plans to impose new fees on consumers for using debit cards, Congressman David Cicilline introduced legislation that would ban the practice.
Cicilline’s proposal, H.R. 3190, would prohibit an insured depository institution from charging consumers for receiving or using a debit card.
“After Wall Street greed drove our financial system to the brink of collapse, the big banks received a massive taxpayer-funded bailout to stay afloat,” said Cicilline. “It is unconscionable that now, these same banks are trying to reach into the pockets of hardworking American families in order to inflate revenues, bolster balance sheets, and feed corporate excess.”
GET THE LATEST BREAKING NEWS HERE -- SIGN UP FOR GOLOCAL FREE DAILY EBLASTIn recent weeks, several large financial institutions, including Chase, Wells Fargo, and Bank of America, announced plans that would charge consumers as much as $5 per month for using debit cards to pay for goods and services. Under some plans, customers holding premium accounts with high asset balances will be exempted from paying the fee, leaving only working families to pay the bill. Consumers across the country have expressed outrage over the proposals, resulting in protests and the signing of pledges asking banks not to implement this fee.
Kate Brock, Executive Director of Ocean State Action, praised Cicilline’s proposal, saying, “Congressman Cicilline has put the people of Rhode Island first by introducing this critical piece of legislation to protect consumers from unreasonable debit card fees. In these tough economic times banks should not be allowed to gouge consumers, and we applaud Congressman Cicilline for standing up for regular Rhode Islanders.”
