"These savings are just the tip of the iceberg," said Bob Baldwin, president at Princeton, N.J.-based Heartland. "'Durbin Dollars' should stay where they belong--in merchants' bank accounts. ... Merchants shouldn't take this for granted. They need to be vigilant in ensuring they receive the cost savings they deserve so they don't unknowingly fall victim to processors looking to profit at their expense."
The real effects of the Durbin Amendment have already started to take hold. Based on data collected between October 1-3, 2011, across Heartland's portfolio of 250,000 merchant locations, Heartland has found:
· 65% of its signature debit sales volume qualified as regulated.
· On average, there is a savings of 21 cents per transaction for regulated vs. non-regulated.
· The average signature debit non-regulated interchange fee per transaction is 44 cents
· The average signature debit regulated interchange fee per transaction is 23 cents
· On average, there is a savings of 75 basis points for regulated (vs. non-regulated); the average signature debit non-regulated effective rate is 1.55%.
· The average signature debit regulated effective rate is 0.80%.