Tuesday, Oct. 11, 2011 | 2:02 a.m.
In response to Jerry Perchesky’s letter in the Sun on Thursday: Don’t put the entire blame on the banks. Our erudite lawmakers in Washington saw fit to meddle with the market and put in regulations with nary a thought to the consequences.
The Durbin Amendment restricts what banks can charge merchants on debit card transactions. The transaction fee was reduced from 45 cents per transaction to 24 cents per transaction, a 46.7 percent reduction effective Oct. 1. In July, my bank dropped the reward program as a result and was in the process of determining what fees to charge.
Debit card fees will not be the only thing customers will pay for — the banks will institute other transactional fees. Free checking accounts will be dinosaurs in a few years.
I would like Sen. Dick Durbin or Sen. Harry Reid to explain to the people what their intent was. What is ironic is that low-income families will resort to credit instead of debit cards in order to avoid the fees. The smarter option would be to encourage them to use debit cards and avoid amassing debt.