Urgent Action Needed: Protect Texas Credit Unions and Small Businesses
Senate Bill 2056 is a critical piece of legislation that could have a significant impact on Security First Credit Union, our members, and the small businesses we serve. If passed, SB 2056 may increase costs and disrupt the way credit and debit card processing fees are managed, ultimately limiting access to affordable credit for our community—especially military members and veteran families.
What is Senate Bill 2056?
Senate Bill 2056 (SB 2056) proposes changes to the law governing credit and debit card transactions in Texas. The bill will be discussed on the Senate floor very soon, and if passed, it could drastically alter the way businesses and financial institutions, including Security First Credit Union, operate.
Key Concerns of Senate Bill 2056
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New Processing Agreements: SB 2056 would require every business in Texas to negotiate individual credit and debit card processing agreements with 280 banks worldwide. This could severely complicate and raise costs for Texas businesses, including small businesses in our community.
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Impact on Local Businesses: With over 2.8 million small businesses in Texas, the bill could increase their processing costs and provide an unfair advantage to large national retailers. This would harm local businesses, affecting their ability to compete and thrive.
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Limitations on Card Acceptance: The bill could eliminate the “honor all cards” rule, leading merchants to refuse cards from smaller issuers or charge additional fees for using them. This would limit the choices available to our members and undermine the financial services we offer.
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Disruption to Fraud Protection and Services: By potentially limiting access to affordable card processing, SB 2056 could reduce funding for essential services like fraud protection, directly impacting the security and safety of our members.
Why This Matters to You
Our current system ensures the efficiency and security of transactions while protecting members from fraud and identity theft. SB 2056 threatens these protections by restructuring the electronic payments system, disproportionately benefiting large banks and national retailers at the expense of local institutions like Security First Credit Union.
If passed, this bill could compromise the financial stability of credit unions and small businesses in Texas, weakening the services we provide and diminishing the community-focused values that drive our mission.
What Can You Do?
We need your help to protect Texas credit unions and small businesses! It’s important that we take action to ensure our community’s interests are safeguarded against big corporate agendas. Your voice is powerful, and together we can send a strong message to our state senators that SB 2056 is not truly about transparency—it’s about preserving local interests.
Send a message to your state senator and let them know why you oppose SB 2056. Stand with Security First Credit Union and help protect our community!
Thank you for your commitment to our mission and for taking action on this critical issue. Let’s make our voices heard!
