“The court’s ruling is clear … This unworkable law singles out Illinois’ own hometown banks and credit unions, creating uncertainty and confusion for their customers and the state’s small businesses. A full repeal remains the only solution.”
“Lawmakers should stop defending this failed experiment and allow the Land of Lincoln to return from the brink of becoming the Land of Credit and Debit Card Chaos.”
Electronic Payments Coalition Executive Chairman Richard Hunt issued the following statement after Judge Virginia Kendall permanently enjoined the enforcement of key provisions of Illinois’ Credit Card Chaos law, known as the Interchange Fee Prohibition Act (IFPA), against national banks, out-of-state banks, federal savings associations, and payment card networks:
“Just hours after kicking the implementation deadline down the road for the second year in a row, the Illinois General Assembly should view this ruling as yet another signal the only path forward is full repeal of the state’s flawed, and economically harmful card chaos law.
“The court’s ruling is clear. The backroom deal creating the IFPA conflicts with federal law and would impose significant operational burdens for consumers, small businesses, financial institutions, and the payments system. The court’s decision makes clear Illinois cannot simply rewrite the rules governing a national payments network and expect the rest of the country to adapt.
“With the National Credit Union Administration’s pending preemption rule, this unworkable law singles out Illinois’ own hometown banks and credit unions, creating uncertainty and confusion for their customers and the state’s small businesses.
“A full repeal remains the only solution. Illinois consumers, merchants, community banks, and credit unions deserve certainty. Lawmakers should stop defending this failed experiment and allow the Land of Lincoln to return from the brink of becoming the Land of Credit and Debit Card Chaos.”
