Wells Fargo has announced they are testing monthly debit card fees in five states—$3 a month works out to an annual $36 additional fee just to have a debit card. Meanwhile, a number of banks have announced reductions or eliminations in debit rewards.
Who is going to face the backlash on fee increases—the banks, the merchants, Durbin or all of the above? PYMNTS.com assembled a cast of experts for this exclusive NEXTcast interview in the hopes of gaining some clarity into what the future of banking may hold.
Bob Chakravorti: Dr. Chakravorti is responsible for coordinating The Clearing House’s quantitative and data driven research efforts and providing owner banks with insight and analysis on economic, regulatory and payment system issues. Prior to joining the Clearing House, Dr. Chakravorti was a senior economist at the Federal Reserve Banks of Chicago and Dallas for 15 years.
Bob Litan: Robert E. Litan is a Senior Advisor at Global Economics Group and has extensive experience in the economics of antitrust, banking, and trade issues. Dr. Litan is the vice president for Research and Policy at the Ewing Marion Kauffman Foundation in Kansas City where he oversees the Foundation’s extensive program for funding data collection and research relating entrepreneurship and economic growth.
Todd Zywicki: Todd J. Zywicki is George Mason University Foundation Professor of Law at George Mason University School of Law and Senior Scholar of the Mercatus Center at George Mason University. Prior to his affiliation with Global Economics Group, Professor Zywicki was honored as the recipient of the Institute for Humane Studies 2009 Charles G. Koch Outstanding IHS Alum Award.
Karen Webster (moderator): Karen Webster is the CEO of Market Platform Dynamics (MPD), a consulting firm that helps companies find, implement and monetize innovation. She serves as an advisor and member of the board for a number of companies operating in the payment, technology and digital media industries.