Texas Court upholds law to prohibit merchant surcharges
WASHINGTON, DC (March 2, 2016) — The U.S. Court of Appeals for the Fifth Circuit upheld a Texas state law that prohibits merchants from imposing a surcharge on a buyer who uses a credit card.
“This is a great win for credit unions, and at CUNA we are proud to have been involved in this suit as part of our unwavering support of our members in every possible venue nationwide, including the courts,” said Credit Union National Association (CUNA) chief advocacy officer Ryan Donovan. “We applaud the court’s decision.”
CUNA filed an amicus brief in the case in August 2015 arguing that allowing merchants to add additional surcharges – known as interchange fees – to credit card transactions would allow them to receive the substantial value of participating in the credit card system, while passing costs along to consumers and financial institutions.
About CUNA
Credit Union National Association (CUNA) is the only national association that advocates on behalf of all of America’s credit unions, which are owned by 135 million consumer members. CUNA, along with its network of affiliated state credit union leagues, delivers unwavering advocacy, continuous professional growth and operational confidence to protect the best interests of all credit unions. For more information about CUNA, visit cuna.org. To find your nearest credit union, visit YourMoneyFurther.com.
