ATL Standard

Atlanta resident and owner of Kayla’s Italian Ice Theresa Bostic said that she has significant concerns about the proposed Credit Card Competition Act, warning that it could jeopardize digital payment security and customer trust. She argues that while the bill is framed as support for small businesses, it may actually harm them by threatening essential financial resources and eliminating critical credit card rewards.

In a letter posted to Rough Draft Atlanta, Bostic expressed strong concerns about the proposed Credit Card Competition Act, stating that it could jeopardize the security of digital payments and undermine trust with customers. She emphasized that the bill, although touted as beneficial for small businesses, would disproportionately harm them by compromising essential financial resources and eliminating credit card rewards that help cover costs.

“Lawmakers in Washington are considering a bill called the Credit Card Competition Act, which will put at risk the tools we have relied on to drive our business to success and to build a loyal customer base,” Bostic wrote in her letter. “The bill’s supporters say it will help small businesses save money, but in reality, this measure will disproportionately hurt small businesses like ours.”  

The bill, S. 1838, or the “Credit Card Competition Act” (CCCA, S. 1838), sponsored by U.S. Sens. Richard Durbin (D-Ill.) and Roger Marshall (R-Kans.), would require banks to offer merchants at least two network options, one of which cannot be Visa or Mastercard, for processing credit card transactions. Opponents of the bill argue that if given the choice, retailers would likely choose cheaper, less secure networks for processing transactions, thereby exposing consumers to increased securities and fraud risks.  

“Involving alternative payment networks that are unlikely to provide the same security as the current system makes me particularly concerned about the impact that this bill could have on the safety and security of digital payments,” Bostic wrote. “If a transaction gets flagged as fraudulent, banks can often take care of it without hurting our bottom line. But if the bill becomes law, we could lose this safety net and our customers’ trust. All it takes is one scam attempt for a customer to stop trusting us.”

Bostic also expressed concern that the Credit Card Competition Act could negatively impact credit card rewards points, which her business relies on to cover expenses like equipment and truck maintenance. For small businesses operating on tight profit margins, these rewards are crucial for reducing costs.

“As business owners who have been able to leverage the digital payments and credit card system to advance our success, we want to urge our Georgia Senators to oppose this bill. It would hurt the important financial resources small businesses in Georgia, and all over the nation, use to stay afloat.”

S. 1838 is currently pending in the U.S. Senate Committee on Banking, Housing, and Urban Affairs.

Kayla's Italian Ice was founded in 2018 by Theresa and her daughter, Kayla, inspired by Theresa's nostalgic love for the classic summer treat she grew up enjoying in New York. After years of savoring the dessert only on vacations, Theresa and Kayla decided to bring the refreshing taste of authentic Italian ice to the Atlanta metropolitan area. This mother-daughter duo is committed to sharing a beloved family tradition with a new community, offering a taste of New York summers in the heart of Georgia.