Fed Win On Swipe Fees Is Pyrrhic Victory For Banks

Law360, New York (March 21, 2014, 7:14 PM EDT) -- The Federal Reserve and banks won a major victory Friday when the D.C. Circuit rejected a retail groups’ lawsuit claiming the central bank’s cap on debit card interchange fees is too high, but for banks the win means they will have to live with a rule that ultimately hurts their bottom lines.

The D.C. Circuit's opinion overturned a lower court decision that vacated the Fed's rules for implementing the so-called Durbin amendment to the Dodd-Frank Act, meaning that banks will not have to deal with the...
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