Senate President Pro Tem Peter Shumlin and Majority Leader John Campbell today announced passage of legislation that will curb predatory practices by credit card companies and protect both Vermont businesses and consumers.
“Almost every Vermont family and store owner has a story to tell about one of the major credit card companies charging them exorbitant and unfair fees or leveraging unjust fines,” said Senator Peter Shumlin. “This legislation will help the Vermont consumer and store owner by prohibiting these abusive practices.”
The legislation will allow merchants to set a minimum amount for credit card purchases and offer discounts for cash payments, and prohibit credit card companies from fining merchants for their pricing displays.
"This is a huge victory for small businesses against the Goliath Master Cards, Visas and the American Expresses of the world,” said Majority Leader John Campbell. “For too long, these companies have been determining how much money our local small businesses can make."
The legislation includes three key provisions:
Prohibits credit card companies from fining merchants for their pricing displays or for offering a discount to customers who use a credit card with fewer fines on the merchant.
Allows merchants to set minimum transaction amounts without being fined or penalized by the credit card companies as long as it is displayed appropriately.
Prohibits credit card companies from forcing a store owner to accept their credit card at all of their store branches if they choose to use it at one.
S.138, An Act Relating to Credit Card Fees, will now go to the Governor for his signature.
Source: Shumlin's office. 5.5.2010
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