By Silla Brush - 05/13/10 11:30 PM EDT
The Senate on Thursday passed controversial legislation clamping down on fees that card issuers charge merchants, handing Senate Majority Whip Dick DurbinDick DurbinDems to Clinton: Ignore Trump on past scandals How airport security lines got so bad Dem senators call for sanctions on Congo MORE (D-Ill.) a major victory.
As part of debate on Wall Street overhaul, the Senate passed, 64-33, legislation championed by Durbin that drew significant Republican support. Ten Democrats opposed the legislation, while 17 Republicans crossed the aisle to support a bill that aims to rein in fees placed on debit cards.
"It is a shame that their attempt at getting back at big banks and large credit card companies has spilled over to credit unions and community banks," said Dan Berger, executive vice president at NAFCU. "This will do nothing for consumers but go straight to the bottom line of the big box stores and giant retailers."
Durbin overcame the lobbying to pass legislation that requires the Federal Reserve to issue rules on swipe fees for debit cards to ensure fees are "responsible and proportional" to processing costs. The legislation does not ban swipe card fees. Durbin had won strong backing from merchant and retail groups. Durbin said the restrictions would not apply to banks and credit unions with $10 billion or less in assets.
"It wasn't introduced as a partisan amendment," Durbin said Thursday before the vote. "I brought this because it is a small business, retail amendment that I think is valid and just."
Rep. Peter WelchPeter WelchOvernight Defense: Senate panel approves 2B defense bill Lawmakers push for ISIS war measure in defense bill Lawmakers urge Obama not to send shoulder-fired missiles to Syria MORE (D-Vt.), who is a strong supporter of efforts to rein in card fees, praised the Senate vote.
"This momentous, overwhelming vote sends an unambiguous message to credit card companies that the American people have had enough of swipe fees and have had enough of cash register rip-offs," Welch said.
Senate Democrats opposing the amendment were: Daniel Akaka (Hawaii), Max BaucusMax BaucusWyden unveils business tax proposal College endowments under scrutiny The chaotic fight for ObamaCare MORE (Mont.), Evan Bayh (Ind.), Tom CarperTom CarperFinancial industry spars with retailers over data breach bill Week ahead: Cyber Command in the spotlight Lawsuit exposes M cybertheft through banking software MORE (Del.), Tim JohnsonTim JohnsonHousing groups argue Freddie Mac's loss should spur finance reform On Wall Street, Dem shake-up puts party at crossroads Regulators fret over FOIA reform bill MORE (S.D.), Ted Kaufman (Del.), Claire McCaskillClaire McCaskillDems to Clinton: Ignore Trump on past scandals Party chairs see reversal of fortune Why Wasserman Schultz must go MORE (Mo.), Jon TesterJon TesterSanders tests Wasserman Schultz Wasserman Schultz fights to keep her job It's time we empower veterans with entrepreneurial skills MORE (Mont.) and Mark WarnerMark WarnerNo time to relax: A digital security commission for the next generation Army posthumously awards female veteran who served as WWII spy The Hill's 12:30 Report MORE (Va.). Sen. Joe Lieberman (I-Conn.) also opposed the legislation.
Senate Republicans supporting Durbin's bill were: John Barasso (Wyo.), Scott Brown (Mass.), Richard BurrRichard BurrThe Trail 2016: Hell breaks loose Burr, Ross in statistical dead heat in NC Senate race Senate panel advances spy policy bill, after House approves its own version MORE (N.C.), Saxby ChamblissSaxby ChamblissWyden hammers CIA chief over Senate spying Cruz is a liability Inside Paul Ryan’s brain trust MORE (Ga.), Susan CollinsSusan CollinsGOP lawmaker: 'Republicans were wrong’ to block Garland Senate passes broad spending bill with .1B in Zika funds Senators unveil bill to overhaul apprenticeship programs MORE (Maine), Mike CrapoMike CrapoOvernight Finance: Path clears for Puerto Rico bill | GOP senator casts doubt on IRS impeachment | Senate approves .1B for Zika Senate passes broad spending bill with .1B in Zika funds Housing groups argue Freddie Mac's loss should spur finance reform MORE (Idaho), John Ensign (Nev.), Mike EnziMike EnziGOP blocks slate of Obama judicial nominees Overnight Finance: New rules proposed to curb Wall Street pay GOP senator tries to tie 'No budget, no pay' to funding bill MORE (Wyo.), Lindsey GrahamLindsey GrahamSenators to Obama: Make 'timely' call on Afghan troops levels Senate amendments could sink email privacy compromise Trump: Romney 'walks like a penguin' MORE (S.C.), Charles GrassleyChuck GrassleyClinton email headache is about to get worse Ten senators ask FCC to delay box plan Overnight Cybersecurity: Guccifer plea deal raises questions in Clinton probe MORE (Iowa), Johnny IsaksonJohnny IsaksonGOP senators: Obama bathroom guidance is 'not appropriate' Amateur theatrics: An insult to Africa Dem senator blocks push to tie 'gun ban' to spending bill MORE (Ga.), George LeMieux (Fla.), Richard Lugar (Ind.), Jim RischJim RischOvernight Finance: Path clears for Puerto Rico bill | GOP senator casts doubt on IRS impeachment | Senate approves .1B for Zika Senate passes broad spending bill with .1B in Zika funds Sen. Cory Gardner endorses Cruz MORE (Idaho), Olympia Snowe (Maine), David VitterDavid VitterOvernight Energy: Trump outlines 'America First' energy plan in North Dakota Paul blocks chemical safety bill in Senate House Republican pushes bill to 'curb regulatory overreach' MORE (La.) and Roger WickerRoger WickerSenate votes to block USDA catfish inspections GOP senators: Obama bathroom guidance is 'not appropriate' Senate Republicans ask Trump to soften his tone MORE (Miss.).
Sens. Robert Byrd (D-WVa.), Kay Bailey Hutchison (R-Texas) and Bill NelsonBill NelsonTen senators ask FCC to delay box plan Senators to House: FAA reauthorization would enhance airport security Dems discuss dropping Wasserman Schultz MORE (D-Fla.) did not vote.
"This amendment helps big merchants, but consumers will pay the price," MasterCard said in a statement.