The Federal Reserve Board unveiled new limits on swipe fees this week. Swipe fees, or interchange fees, are what retailers pay when you make purchases on plastic.
Fees for debit cards are now limited to roughly half of what they used to be. However, retailers are still not happy -- they expected the limit to be far lower still.
Retailers argue that swipe fees limit their ability to expand, hire, and even earn a living. Banks argue that the fees are reasonable and worth every penny. The banks seem to have come out on top this time.
What does this mean for you as a debit card user? Probably not much. It may be harder to find debit card rewards and free checking, but that's nothing new. You should also be able to use your debit card for purchases just as before. Retailers, on the other hand, have to contend with some sticker shock and figure out how to operate giving the unexpected announcement.