Banks fighting for fees that benefit them

The bank and credit union opinion piece (June 3, on debit card fees) reminds me of Halloween - scary and not based on reality.

They say that the reason many retailers no longer accept checks is because the electronic payment system is so valuable to them.

Supermarket retailers would gladly accept cash and checks. However, many consumers do not carry them any longer. Many banks issue only a debit card to access a checking account and then charge this ever-growing swipe fee every time that card is used.

They also say consumers will receive no benefit if rates are reduced. Hogwash. The only way a merchant gets any kind of cost reduction in this law is to incent the customer to use the less expensive card. There will be all kinds of incentives for customers.

Does it trouble anyone else when banks feel so entitled to your money for profits that they will blatantly tell you if we don't get our money from debit interchange fees we're going to charge you more somewhere else?

It is clear that if the Federal Reserve interchange rules go through, Iowa consumers will be able to keep millions of dollars that are now going to the banker's profits, which is their real motivation.

Jerry Fleagle

President

Iowa Grocery Industry Association

Des Moines