Senator Pierrette Ringuette's Bill S-215 on credit card fees - Ottawa must prevent credit card companies from abusing their monopoly on C-stores
OTTAWA, Dec. 17, 2012 /CNW Telbec/ - The Canadian Convenience Stores Association (CCSA) today applauded the recent filing of private member's Bill S-215 by Liberal Senator Pierrette Ringuette. This bill seeks to address the onerous fees charged to retailers by credit card companies for each transaction made by credit card.
"The credit card system in Canada is dominated by VISA and MasterCard who, because of their market power, continue to charge retailers enormous fees for their services while store owners struggle to survive," noted Alex Scholten, president of the CCSA. "With her bill, Senator Ringuette is making this issue a political priority which is something we strongly endorse."
Ottawa's introduction in late 2010 of a voluntary Code of Conduct that sought to regulate the practices of credit card issuers has done little to address the issue of abusive or excessive credit card fees charged to retailers. Credit card fees charged to retailers in Canada are among the highest in the world. According to a study by the CCSA, these fees represent an average cost of $36,000 annually to Canada's convenience store owners (totaling more than $825 million annually for the industry).
"Eliminating the excessiveness of these costs would save Canada's retailers billions of dollars annually. These savings could be passed on to Canadian consumers, thereby increasing their purchasing power and stimulating the economy," concluded Mr. Scholten.
SOURCE: Canadian Convenience Stores Association (CCSA)For further information:
Guy Leroux, Canadian Convenience Stores Association (CCSA)
Cell.: (514) 993-1729