Retailers Welcome Hearing on Secret Credit Card Fees

The National Retail Federation welcomed a congressional hearing being held today on nearly $40 billion in secret fees that credit card companies force merchants to pass on to consumers annually, saying the hearing could lead consumers to demand that credit card companies disclose and reduce the fees.

“Consumers know about the interest they pay and late charges and over- limit charges,” NRF Senior Vice President and General Counsel Mallory Duncan said. “What they don’t know is that credit card companies are collecting a secret checkout fee every time they use their cards. This hearing is going to help bring that secret fee into the spotlight and let consumers know just how much money credit card companies are taking out of their pockets without telling them. The more consumers learn about these fees, the more they’re going to demand that credit card companies be honest about them. And once consumers know how much they’re paying, competition can help drive these rates down.”