Credit Card Competition Act of 2026

Key Points

• This bill, introduced by Congress, aims to lower the fees businesses pay when customers swipe credit cards. It requires large banks with over $100 billion in assets to offer at least two different networks to process transactions on their credit cards.
• Currently, most cards only use one network, often Visa or Mastercard. Under this plan, a card could not just offer those two giants; it would have to include a second, smaller network option. This gives store owners the power to choose the cheapest or most efficient path for your payment.
• The goal is to create more competition, which could lead to lower costs for stores. Supporters hope these savings will be passed down to shoppers in the form of lower prices for groceries, gas, and other everyday items.
• The bill also bans banks from using special security technology to block smaller networks from handling a transaction. It ensures that security features work across different networks so that competition does not come at the cost of safety.
• The Federal Reserve would be responsible for creating a list of networks that are considered national security risks or are owned by foreign governments. Those specific networks would be banned from being used in the U.S. credit card system.