With a steady stream of mobile and electronic payment options expected in the days ahead, Canadian small business owners will be bracing themselves for the possibility of another fee grab on the part of banks, credit card companies and newer market entrants.
“Our experience with the introduction of premium credit cards saw massive new fees for business with zero consultation and widespread confusion for merchants,” said Dan Kelly, senior vice-president of legislative affairs for the Canadian Federation of Independent Business (CFIB). “While we are pleased that the industry is actively reaching out to small business and welcome the new guidelines for mobile payments, we remain worried that another fee-palooza will soon hit merchants.”
CFIB will be watching closely to see if card processors add another set of fees to process mobile transactions in the short term. In addition, the creation of mobile wallets adds the possibility of pushing transactions to the highest possible fee option.
CFIB is very pleased that Finance Minister Flaherty has indicated that he will soon implement a payments advisory committee and consider changes to the Code of Conduct for the Credit and Debit Card Industry to address mobile issues. “The Code of Conduct has been a strong and nimble tool to address industry issues and CFIB is already developing amendments to ensure it helps address emerging mobile and electronic payments,” Kelly concluded.