The debit card interchange cap will cost the $11.5 billion BECU between $35 and $45 million in 2014.
Speaking as part of a panel at the 2013 American Credit Union Mortgage Association Conference in Las Vegas, BECU Vice President of Treasury Mike Quamma said the drop in interchange income is so significant, his 826,000-member institution must take it into consideration when pricing mortgages and other loan products. (Read more ACUMA onsite coverage on page 3.)
BECU became subjected to the cap in the third quarter of 2012 when it exceeded $10 billion in assets. According to the Dodd-Frank Act's Durbin Amendment, which mandated the cap, debit card issuers with fewer than $10 billion in assets are exempt.
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