Eighth Circuit Court Vacates Federal Reserve's Debit Interchange Fee Cap

The U.S. Court of Appeals for the Eighth Circuit has invalidated the Federal Reserve's debit interchange fee cap, which was set at 21 cents plus 0.05% of the transaction's value. The decision remands the case to the Federal Reserve, requiring it to establish a new fee structure that aligns with congressional statute. This ruling could significantly impact financial institutions and merchants nationwide by altering transaction costs.