3 ms·
Before Durbin there used to be a lot of banks that offered points-earning debit cards. After Durbin, for many years SunTrust had a debit card that earned Delta
by arcticbull 3y ago
Before Durbin there used to be a lot of banks that offered points-earning debit cards. After Durbin, for many years SunTrust had a debit card that earned Delta miles. I think that's since moved to Truist. [1]
I guess it depends on what you mean by 'abuse.'
Is Truist abusing non-Durbin status by giving out points for PIN debit transactions? Or are all the other non-Durbin banks who give back nothing abusing the exemption by keeping the interchange?
[1] https://www.truist.com/checking/debit-cards https://www.truist.com/checking/debit-cards
- hiatus 3y agoBeing non-Durbin enables Truist to compete with bigger banks by being able to offer things like cash back on debit. That seems less like abuse and more things working as intended.
- Scoundreller 3y agoFrom what I can tell, the exempt interchange fees were unregulated. So don’t know if they went out of control or not. But even Durbin wasn’t perfect: before many cards would charge more of a percentage model, but after Durbin, raised them per swipe fee to the max. Which can be unfortunate for small purchases.