Cruz, Britt Seek to Raise Smaller Banks’ Debit Card Fee Cap (1)

Two key Republican senators have proposed a measure that would overturn a rule that exposes banks with more than $10 Billion in assets to limits on debit card swipe fees.

The legislation, sponsored by Senators Ted Cruz of Texas and Katie Britt of Alabama, would tie asset restrictions, enacted after the financial crisis, to the rate of inflation.

Cruz, who chairs the powerful Senate Commerce Committee, and Britt, who leads the Banking Subcommittee on Housing, Transportation and Community Development, say the revision would free smaller banks from fee limits, as Cruz put it, “intended for much larger institutions.”

They ...