The deadline for financial institutions to comply with the Durbin Amendment is rapidly approaching.
What does this mean for your financial institution?
- You must have at least two unaffiliated networks on your debit cards by April 1, 2012.
- They can be either two unaffiliated PIN networks, or one signature and one PIN network that are unaffiliated.
- There are no prohibitions on network participation and networks can no longer offer exclusivity agreements to issuers.
- Merchant routing discretion was effective October 1, 2011, which means merchants can route to any network the card allows for each authentication.
Earlier this year, Alliance One partnered with Credit Union 24 (CU 24), which is the only national credit union-owned PIN-debit network that complies with the Durbin legislation requirements. Qualifying as an unaffiliated PIN-debit network, CU 24 provides two solutions from which to choose: one through their traditional PIN-debit point-of-sale network; and the other is through the Debit Edge program, a new PIN-debit network offering that takes a consolidated approach to POS.
As part of the partnership, earlier this year Alliance One participants were extended a special opportunity to add the CU 24 Gateway, with CU 24 providing a $300 credit toward the implementation for Alliance One members. This offer has been extended through January 31, 2012. This is a great opportunity for Alliance One participants looking for a solution to comply with the new Amendment. CU 24 is focused on preserving interchange income after the Durbin Amendment takes full effect during the next year. So, take advantage today. Please contact Judy Lazzerini at moreinfo@cu24.com or call her toll free at 877-570-2824 for more information on Credit Union 24. For more information on the Durbin Amendment, you can view CU 24’s webinar.