Hopefully you are a member of a Credit Union somewhere. Really, I hope you’re a member of Resource One Credit Union. However, I know that some of you can’t but still read my blogs. This one is going to be dedicated to getting involved “politically” for your Credit Union’s sake.
You enjoy many advantages by being a member of a Credit Union. Perhaps at another time I will point out the obvious or not so obvious differences between banks and credit unions. This blog is about getting behind your Credit Union and giving them your political support. (Your Vote Counts)
There are two topics that are coming up for debate in Congress between now and the first of next year. This legislation could have a direct impact on your credit union’s bottom line and thus impact your wallet in the long run. Those topics are Overdraft Protection and Interchange. I will now attempt to explain this mess – bare with me.
Some members of Congress are trying to place very severe restrictions on overdraft protection. Current proposals would limit overdraft coverage to once a month. After that you’d be forced to incur NSF fees from both your financial institution and the merchant. Overdraft protection is a lifeline when our members need it. No one likes to pay a fee, but it’s far better than bouncing a check. If Congress limits this service, then some of our members will turn to predatory lenders as an alternative.
The second topic for vote involves interchange. Interchange, in short, is the amount of money charged for transactions that occur between retailers and financial institutions via electronic payment. Currently, retailers or merchants bare the brunt financially for this exchange. Electronic payment is a benefit to them, to make sure they get paid what is due. The interchange legislation introduced would put undue burden of this exchange of funds back on the financial institution. What this means to you, the consumer, is that cost will utimately lead to higher banking costs. You will probably start paying a usuage charge by your financial institution each and every time you use your debit or ATM card.
CALL TO ACTION
So what can you do???
Over the next several weeks it’s critical that we be communicating to Congress in written form – letters and emails. Click-on the link’s below to voice your concerns.
Interchange legislation (HR 2328)
Courtesy Pay/Overdraft Protection legislation (HR 3904)
Please use the following site to help with Coutesy Pay.
Please use the follwing site to help with Interchange.
- Phillip
Filed under: Uncategorized | Tagged: Interchange, Overdraft Protection, Political Action
