« What is the Financial Services Club? | Main | Things worth reading: 11th December 2012 »

December 10, 2012


Feed You can follow this conversation by subscribing to the comment feed for this post.


Complete unbundling probably would annoy people, but a simple and clear surcharging policy wouldn't. The _law_ should be that retailers are not allowed to surcharge for debit cards and should be forced to accept debit cards for all transactions. But they should be allowed to surcharge for any other payment mechanism (including cash). This would align the social and private costs of the payment system in the correct manner.

Bank Of Me

Agree that "a clear statement of what is being charged, why and when" would be a good step forward in the direction of transparency and openness. However, should we let the market decide what is or is not an apple? We should hope that transparency aids markets in this process even if that means venturing onto the unfamiliar territories of MSE (or other social media venues) to explain, justify and perhaps even correct perceptions in the court of public opinion.


David of course jests in handing yet another subsidy to the banks at society's expense. If there is to be a law, Retailers should only be forced by law to surcharge *all* payment mechanisms, so as to properly account for their costs, and to show all consumers how much each impacts society. Far easier not to have a law at all, we might discovers something new....

Fritz Thomas Klein

Correct: The question is not just unbundling and transparency. It is competition and the lack thereof. And this leads back to intransparency, but another kind of intransparency: Competition will never evolve as long as the card associations' customers are the banks (issuing and acquiring) and prices are set at this level for customers (merchants and cardholders) that are affected, but have no direct choice. This is not what competition is about - decisions taken by others and not by the ones that are actually affected and should have a choice between different (price) offerings.

Verify your Comment

Previewing your Comment

This is only a preview. Your comment has not yet been posted.

Your comment could not be posted. Error type:
Your comment has been saved. Comments are moderated and will not appear until approved by the author. Post another comment

The letters and numbers you entered did not match the image. Please try again.

As a final step before posting your comment, enter the letters and numbers you see in the image below. This prevents automated programs from posting comments.

Having trouble reading this image? View an alternate.


Post a comment

Comments are moderated, and will not appear until the author has approved them.

Your Information

(Name and email address are required. Email address will not be displayed with the comment.)

Twitter FSClub

    follow me on Twitter

    Your email address:

    Powered by FeedBlitz

    Search blog

    Amazon Digital Bank

    Financial Brand Editor's Choice

    Alex: The Finanser BlogAlex at the Financial Services Club
    Gaping Void: The Finanser BlogGaping Void's Hugh MacLeod worked with the Finanser
    Wordle: The Finanser Blog

    The Financial Brand


    Payments News - from Glenbrook Partners

    Payments RSS

    Tomorrow's Transactions blog