GAC Takeaways: Tax Exemption, Interchange, the CFPB and NCUA
Record-setting attendance of more than 6,000 is a nice headline, but it only begins to convey the story. Last week’s Governmental Affairs Conference featured heightened levels of energy and urgency that transcended badge counts- and not for entirely happy reasons.
A Taxing Week in Washington
Glen recaps an action-packed Government Affairs Conference, featuring our annual interview with America’s Credit Unions’ Economics Team on the coming year’s outlook. An “existential threat” to the industry’s income tax exemption headlined a packed agenda, but the CFPB, NCUA and interchange legislation were also on the menu- not to mention tariff whiplash and market uncertainty.
Reimagining Innovation, CUSOs and Big Ideas
Glen speaks with NACUSO’s Interim CEO- and serial CUSO founder- Miriam Ackerman about plans for the group’s Reimagine conference this April in Las Vegas, including a juiced up Next Big Idea competition. Also- a quick summary of the busiest credit union news week in recent memory.
AI, Open Banking are En Vogue
Glen checks in with Money 20/20 President Tracey Davies for a preview of the upcoming four-day Las Vegas extravaganza. Also- a slew of updates on Illinois’ interchange fiasco, a countdown to the CFPB’s open banking rule, and a desperate attempt to tie 1990s funky divas to 2024 payment headlines.
Battle Lines Being Drawn on Illinois Interchange
When Illinois Governor J.B. Pritzker signed The Interchange Fee Prohibition Act into law in late June, it was already clear the legislation’s impact would radiate well beyond the state’s borders. The speed and intensity of the national reaction has nonetheless been surprising- reaching a peak (for now) with last week’s amicus brief by the OCC blasting the law as “unworkable.”
Show Me the Money
Glen speaks with key players at TruStage Ventures’ Fintech Summit: Discovery Fund Managing Director Elizabeth McCluskey on the state of early stage investing, founder Gwyneth Borden on Remynt’s journey to startup funding, and Maxwell’s co-founder John Paasonen on addressing the housing affordability gap. Also, surprising battle lines forming in the Illinois interchange showdown.
Discovering the Drama in Interchange
John and Glen explore the machinations of the Interchange Fee Prohibition Act, the potential impacts that extend well beyond Illinois, and how it could alter prospects for the Capital One/Discover merger. Also- initial thoughts on the DOJ’s antitrust suit against Visa’s debit business, and a gratuitous swipe at Ticketmaster.
Ill Communication on Illinois Interchange
The Illinois Credit Union League’s Tom Kane and Ashley Sharp go deep on the turmoil surrounding Illinois’ problematic new interchange law and the steps being taken to course correct. Also- Sam Altman’s Worldcoin moves fast and scans (personal) things, and…Backpedaling as a Service (BaaS)?
Identity, Reward Points and Coffee
Glen speaks with Bonifii CEO John Ainsworth about his firm’s new collaboration with Metal and the next wave of identity solutions. Also- branches as community centers, the ongoing interchange/reward points battle, more “fun” in class action lawsuit land, and screen scraping stages a comeback.
A State of Confusion- Interchange Battles Move Closer to Home
The tension between federal and state-level banking legislation is a never-ending source of heartburn. Businesses naturally crave less regulation, in order to limit compliance costs and avoid barriers to innovation. Given the choice, however, they’d nearly always prefer a single federal standard to a patchwork of state edicts that can make compliance difficult-verging-on-impossible.