CFIB welcomes mobile payment amendment to Credit/Debit Card Code of Conduct
TORONTO-- The Canadian Federation of Independent Business (CFIB) has released a statement welcoming the announcement from the federal government that it will expand the Code of Conduct for the Credit and Debit Card Industry to deal with the growing use of mobile payments (i.e. using smartphones and other devices to pay for purchases).
"The Code that CFIB initially proposed, and the government implemented, was a worldwide first that helped save low-cost debit in Canada and gave merchants some degree of power in dealing with the industry," said CFIB national affairs vice president Corinne Pohlmann. "Today's announcement on mobile payments will help make the Code even more relevant and useful to small business owners, and we applaud the government for taking this action."
In addition to amending the Code to address mobile payment options, CFIB has also recommended the government consider further changes to the Code that would:
Allow merchants the right to refuse, or add limited surcharges to high-cost credit cards;
Strengthen provisions related to card processor practices as some players are using loopholes to avoid the merchant protections of the Code; and
Develop more effective dispute resolution processes.
"In the past two years, CFIB has become the payment industry's unofficial watchdog, and this role has allowed us to stay on top of credit and debit card developments," added Pohlmann. "Today's actions show that the government is prepared to update the Code of Conduct as the credit card industry evolves to continue to level the playing field between the payments industry and small businesses."