On 02 Oct 2011 12:27:02 GMT, Han wrote:

"HeyBub" wrote in
:

Dick Durbin offered and amendment to the Dodd-Franks financial reform
act which limited the interchage fee banks can charge on debit card
transactions to 22-25 cents per swipe. Prior to that, the average fee
to the merchant was 44 cents per swipe.

As a result of this Durbin provision, banks will experience an
estimated loss of $8 billion annually. I'm guessing BoA will take
about $2 billion of that hit.

Well, actually $8 (or $2) billion LESS profit, not a loss in the bottom
line, IMNSHO!

A distinction without a difference. It's still a loss that they can't take.

When you lose a $2 billion revenue stream, with no corresponding drop
in expenses, you've got to make up the revenue elsewhere.

On the plus side, merchants will pay less to honor debit cards thereby
resulting in dramatically lowered prices for the consumer. Look for
these massive price reductions beginning today (Oct 1st).

Sarcasm duely noted!
Banks should strive more to give honest service, with less beancounter
emphasis on profit. Then the profits will come automagically.

Silly.