The Green Sheet Online Edition
February 9, 2026 • 26:02:01
News Briefs
Digital payments spur growth, ETA study finds <- click to read full story
Digital payments generate more than $350 billion in annual U.S. economic output and play a critical role in job creation, income growth and entrepreneurship, according to a study published Jan. 15, 2026, by the Electronic Transactions Association and conducted by PwC.
Drawing on 2024 data from the U.S. Bureau of Economic Analysis, Bureau of Labor Statistics and Census Bureau, the research examines the direct, indirect and induced economic impact of electronic payments nationwide.
The study found the U.S. payments industry directly supported 556,600 jobs in 2024, with total employment impact exceeding 2 million jobs when indirect and residual effects are included. Average direct labor income in the industry reached $165,000 per job, more than double the national average, while total labor income tied to payments activity totaled $210 billion.
In terms of GDP, the industry directly contributed $148 billion and generated $354 billion in combined national economic output, accounting for 1.2 percent of U.S. GDP.
Economic impact varied by region. Large states such as California, Texas, Florida and New York generated significant absolute activity, while states with concentrated financial-services ecosystems, including Delaware, South Dakota, Virginia and Utah, showed higher relative dependence on payments-related activity.
Researchers concluded digital payments are advancing efficiency and entrepreneurship by lowering barriers to entry and enabling businesses to scale more easily.
According to ETA CEO Jodie Kelley, small businesses can begin accepting digital payments in minutes and typically see sales increase 8 to 10 percent, contributing an additional $34 billion in revenue. The study also found payment efficiencies save small businesses an estimated 806 million labor hours annually.
FTC alleges payment processor violations of 2015 I Works settlement <- click to read full story
The Federal Trade Commission is seeking to hold payment processor Cliq Inc. and two of its executives in contempt of court, alleging they violated a 2015 settlement that barred them from facilitating fraudulent payment activity. In a motion filed Jan. 13 in the U.S. District Court for the District of Nevada, the FTC accused Cliq, formerly CardFlex Inc., along with CEO Andrew Phillips and Chief Technology and Security Officer John Blaugrund, of repeatedly ignoring obligations imposed under a stipulated court order tied to a major online fraud case.
The FTC is seeking at least $52.9 million in compensatory relief for consumers, a permanent ban preventing Phillips and Blaugrund from working in payment processing, and the appointment of a receiver to ensure compliance. According to the agency, Cliq processed hundreds of millions of dollars in transactions for merchants that were explicitly prohibited, including at least three listed on Mastercard's MATCH database for excessive chargebacks or rule violations.
The agency further alleged Cliq helped clients evade bank and card network risk controls, failed to properly screen high-risk merchants, and inadequately monitored transactions for signs of fraud. In some instances, the FTC said, Cliq stopped processing for certain merchants without determining whether deceptive conduct was occurring, while continuing to support other high-risk clients.
The contempt action stems from the long-running I Works enforcement case. The FTC alleged in earlier filings that I Works defrauded consumers out of more than $275 million through deceptive trial offers, with payment processors enabling the scheme. CardFlex, Phillips and Blaugrund settled in 2015, agreeing to strict compliance requirements and partial monetary penalties. The FTC now argues those obligations were ignored, underscoring its continued focus on enforcing long-standing court orders.
Surcharging a complex challenge for merchants, J.D. Power finds <- click to read full story
Credit card surcharging is becoming more common among U.S. merchants, but it remains a delicate tradeoff between recovering costs and preserving the customer experience, according to the J.D. Power 2026 Merchant Services Satisfaction Study, a new study from J.D. Power. The firm found that 35 percent of card-accepting businesses now impose surcharges on credit card payments. At the same time, 32 percent of merchants said customers occasionally or frequently abandon purchases rather than pay the additional fee, highlighting the risk of lost sales.
Surcharging is most prevalent among newer small businesses and restaurants, where margins are often tighter. J.D. Power noted growing tension between merchants' desire to accept more payment types and their efforts to offset processing costs. While surcharging is legal in 47 states, Connecticut, Maine, Massachusetts and Puerto Rico still prohibit the practice. In Massachusetts, lawmakers are considering legislation that would lift the ban while capping surcharges at actual processing costs and requiring clear disclosures.
The study also reflects broader changes in how consumers pay, finding that 92 percent of U.S. merchants now accept digital wallets, and 58 percent offer buy now, pay later options. Credit and debit cards remain nearly universal, while check acceptance continues to decline. Cryptocurrency acceptance is also rising, with 19 percent of merchants now accepting it and growing interest among non-accepting businesses.
The research found that POS prompts for tips, donations and surcharges can disrupt checkout and increase transaction abandonment. In terms of provider satisfaction, large banks performed best overall, led by Bank of America, while software-driven specialists scored strongly among startup businesses due to their technology and guidance.
CCCA opponents, fans remain resolute <- click to read full story
The Credit Card Competition Act (CCCA) continues to face strong resistance and support in Congress, with debate intensifying despite repeated legislative setbacks. First introduced in 2023 by Sens. Roger Marshall, R-Kan., and Dick Durbin, D-Ill., the bipartisan bill aims to increase competition in credit card processing by requiring large issuing banks to offer merchants additional routing options beyond Visa and Mastercard.
Supporters argue the measure could reduce merchant fees, while critics warn it could undermine consumer rewards programs, weaken fraud protections and disrupt existing payment networks.
Opposition from the banking and payments industry remains firm.
In a November 2024 letter to the Senate Judiciary Committee, a broad coalition of banking and payments trade groups argued the bill would extend debit-routing requirements to credit cards, increasing fraud risk and limiting access to credit for consumers and small businesses. Community banks and credit unions nationwide have echoed those concerns.
The bill regained attention in January 2026 after President Donald Trump posted on X praising the legislation and criticizing high credit card fees. Shortly thereafter, Marshall and Durbin reintroduced the CCCA in the Senate, while Reps. Lance Gooden, R-Texas, and Zoe Lofgren, D-Calif., introduced a companion measure in the House.
The renewed push coincided with a delay in Senate consideration of the GENIUS Act, a cryptocurrency bill that Marshall had considered using as a vehicle to advance the CCCA. Critics, however, argued the payments proposal was unrelated to digital asset regulation and would have complicated the bill's progress.
Electronic Transactions Association executive vice president Scott Talbott said the CCCA represents unnecessary government interference in a competitive payments market.
Feds foil skimmers and more than $400 million in potential card fraud <- click to read full story
Federal, state and local law enforcement agencies prevented more than $428 million in potential card fraud in 2025 by disrupting widespread EBT fraud and ATM skimming operations, according to the U.S. Secret Service. Working with partner agencies, the Secret Service conducted 22 investigations nationwide, inspecting more than 60,000 POS terminals, gas pumps and ATMs across 9,000 businesses in 17 cities. Those efforts led to the removal of 411 skimming devices before criminals could retrieve stolen card data.
The investigations, carried out by the Secret Service's Criminal Investigative Division, took place in major metropolitan areas including Los Angeles, New York City, Washington, D.C., Boston, Miami, Atlanta and San Diego, among others. In several cities, multiple operations were conducted. The agency said the work reflects a proactive strategy aimed at identifying compromised devices early and disrupting organized fraud rings.
Law enforcement officials noted a sharp rise in card skimming, particularly involving EBT cards. These cards are often more vulnerable because many still rely on magnetic stripe technology rather than EMV chips. Criminals install skimmers at ATMs, POS terminals and gas pumps to capture card data, which is then used to create counterfeit cards or sold on the dark web.
Fraudsters often time withdrawals or purchases to coincide with benefit distribution dates.
The Secret Service estimates skimming schemes cost consumers and financial institutions more than $1 billion annually. Agents involved in the investigations described emotional encounters with store owners who were unaware their equipment had been compromised, as well as victims who lost critical food assistance benefits. Officials emphasized that the 2025 operations likely protected hundreds of thousands of benefit recipients from losing essential funds. 
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