BOSTON — The Defense Credit Union Council said its chief advocacy officer will testify before a Massachusetts legislative commission next week on issues related to credit card interchange policy and potential impacts on credit unions and their members.
According to DCUC, Chief Advocacy Officer Jason Stverak is scheduled to provide testimony June 15 during the fourth hearing of the Massachusetts Special Legislative Commission studying the future of payments and credit card transactions and their effects on small businesses. The hearing will be held at the Massachusetts State House and streamed online for public viewing.
DCUC said Stverak will discuss challenges credit unions face related to interchange policies, as well as the potential effects of legislative and regulatory proposals on consumers and communities served by credit unions.
‘Strong Voice’
“As policymakers continue to consider changes that could impact the payments ecosystem, it is important that credit unions have a strong voice in these discussions and that decision-makers understand the real-world consequences for consumers, including military families, veterans, and communities served by credit unions nationwide,” Stverak said in a statement provided by DCUC.
The organization said the testimony is part of its ongoing advocacy efforts surrounding interchange fees and other payments-related proposals. DCUC has argued that restrictions on interchange income could reduce resources available for member services, cybersecurity investments, fraud prevention efforts and financial inclusion programs offered by credit unions.
“Credit unions are operating under intensifying regulatory, operational, and competitive pressures that directly threaten their ability to deliver affordable, trusted financial services,” DCUC President and CEO Anthony Hernandez, a retired U.S. Air Force colonel, said in a statement.
What Policymakers Should Understand
Hernandez said policymakers at both the state and federal levels should understand the potential effects of payments-related legislation on credit unions and the consumers they serve.
DCUC said it will continue advocating for policies that support innovation, competition, financial security and consumer choice as lawmakers evaluate potential changes to the payments system.
