Debit Card Interchange Fees and Routing

FEDERAL RESERVE SYSTEM
12 CFR Part 235
[Regulation II; Docket No. R–1748] RIN 7100–AG15 Debit Card Interchange Fees and Routing AGENCY: Board of Governors of the Federal Reserve System. ACTION: Notice of proposed rulemaking; extension of comment period. SUMMARY: On May 13, 2021, the Board of Governors of the Federal Reserve System (Board) published in the Federal Register a proposal to amend Regulation II to clarify that the requirement that each debit card transaction must be able to be processed on at least two unaffiliated payment card networks applies to card-not-present transactions, clarify the requirements that Regulation II imposes on debit card issuers to ensure that at least two unaffiliated payment card networks have been enabled for debit card transactions, and standardize and clarify the use of certain terminology. The proposal provided for a comment period ending on July 12, 2021. The Board is extending the comment period for 30 days, until August 11, 2021. DATES: The comment period for the notice of proposed rulemaking published on May 13, 2021 (86 FR 26189), is extended. Comments must be received by August 11, 2021. ADDRESSES: You may submit comments by any of the methods identified in the proposal. FOR FURTHER INFORMATION CONTACT: Jess Cheng, Senior Counsel (202–452–2309), Legal Division; or Krzysztof Wozniak, Manager (202–452–3878), Elena Falcettoni, Economist (202–452–2528), or Larkin Turman, Financial Institution and Policy Analyst (202–452–2388), Division of Reserve Bank Operations and Payment Systems. Users of Telecommunication Device for Deaf (TDD) only, call (202) 263–4869. SUPPLEMENTARY INFORMATION: On May 13, 2021, the Board of Governors of the Federal Reserve System (Board) published in the Federal Register a proposal to amend Regulation II to

1 86 FR 26189 (May 13, 2021).
1The Federal banking regulatory agencies include the Office of the Comptroller of the Currency, Board of Governors of the Federal Reserve System (hereafter Federal Reserve Board), and the Federal Deposit Insurance Corporation. See ‘‘Liquidity Coverage Ratio: Liquidity Risk Measurement Standards,’’ 79 FR 61440 (October 10, 2014) and ‘‘Net Stable Funding Ratio: Liquidity Risk Measurement Standards and Disclosure Requirements,’’ 86 FR 9120 (February 11, 2021). 2Basel III was published in December 2010 and revised in June 2011. The text is available at http:// www.bis.org/publ/bcbs189.htm. The BCBS was established in 1974 by central banks with bank supervisory authorities in major industrial countries. The BCBS develops banking guidelines and recommends them for adoption by member countries and others. BCBS documents are available at https://www.bis.org/. The FCA does not have representation on the Basel Committee, as do the FBRAs, and is not required by law to follow the Basel standards. The Basel III Liquidity Coverage Ratio and liquidity risk monitoring tools document was published in January 2013 and the Net stable funding ratio document was published in October 2014. clarify that the requirement that each debit card transaction must be able to be processed on at least two unaffiliated payment card networks applies to card￾not-present transactions, clarify the requirements that Regulation II imposes on debit card issuers to ensure that at least two unaffiliated payment card networks have been enabled for debit card transactions, and standardize and clarify the use of certain terminology.1 The proposal provided for a comment period ending on July 12, 2021. Since the publication of the proposal, the Board has received comments requesting a 30-day extension of the comment period. An extension of the comment period will provide additional opportunity for interested parties to analyze the proposal and prepare and submit comments. Therefore, the Board is extending the end of the comment period for the proposal from July 12, 2021 to August 11, 2021. By order of the Board of Governors of the Federal Reserve System, acting through the Secretary of the Board under delegated authority. Ann E. Misback, Secretary of the Board. [FR Doc. 2021–13533 Filed 6–29–21; 8:45 am] BILLING CODE P