Durbin Amendment and Debit Transaction Savings

How familiar are you with the Durbin Amendment?  Maybe you’ve heard about it in the news but then again, it possibly slipped right by you.  If you accept debit cards for payment of goods/services in your business, you need to understand this new legislation.  It will have a great impact in savings to your bottom line…maybe!  Let me expand on that a bit more for you if I might.  

Congress has recently passed the Durbin amendment which is a landmark decision. This is the first time we have ever seen this large of a reduction in processing costs. This cuts the costs for Pin Based Debit and Signature debit almost in half. Pin based debit and signature debit combined make up to 50 – 70% of the processing in the marketplace. Imagine paying up to 1.00% or half of what you currently pay on 50% -70% of the cards you process.  

This reduction on costs does not go into effect until October 1st, 2011. It’s up to you to take action and make sure you see these savings. Many processors are choosing not to pass through these savings.

Until the  Durbin Amendment takes effect on October 1, 2011.   merchants will continue to be charged the same as they are today.  On October 1^st, a processor can choose to pass through the new reduction in costs, or not !  A bit of a disclaimer here, I believe, is necessary.  If you are currently on Cost-Plus or Interchange-Plus pricing, the savings will automatically be passed on to you.  If you’re not on this form of pricing, however, then you may not see the savings and you should have your pricing model reviewed for ultimate transparency that will be to your benefit.

What kind of relationship do you have with your current provider?  Does your rep, and the company, truly have a keen interest in maintaining a mutually rewarding relationship with you?  Have they frequently been in touch with you to see how things are going and make beneficial cost-savings, profit increasing recommendations to you?

My policy is and always has been to form a kind of partnership with my merchants,  It’s not just about providing credit card processing services.  I have shown merchants how to utilize gift cards to help increase sales or by implementing customer loyalty programs.  In recent years, I have also shown them the great advantages of implementing Mobile Text Marketing to drive sales.  And, how to capitalize on integrating Social Media like FaceBook, LinkedIn, Twitter, FourSquare, Google Places and others to further expose their businesses to the public to gain a greater market share.  You find helpful links regarding these under the Business Services tab.

The bottom line is that my business success is directly dependent on my merchant’s success.  The more sales they make and profits they generate, the more I am able to earn for myself and family.  It’s always a win/win situation.  I’ve been able to keep my clients by providing excellent experiences, being totally transparent, providing competitive programs, and providing the best service in the industry. 

So, if you’re reading this and feel that it might just be time for a fresh look, why not click on the “Contact Info” tab and tell me how I may be of assistance.  I can ensure you see the benefit of this Durbin Amendment cost reduction. “

In addition, for a short period of time, I am offering a New Merchant Sign-Up Bonus that may just be the enticement to see what I have to offer.  In addition, our agreement comes with NO TERMINATION FEES so, if for any reason, you are not fully satisfied with what we provide for you, just let us know.  Oh, and don’t forget to ask about FREE EQUIPMENT, as well.  So, what are you waiting for….why not give me a shout and please, don’t hesitate to direct others to this website.  Thanks for coming by.

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