Federal Rule Clarifies Credit Unions Not Subject to Illinois Fee Law 

SPRINGFIELD – The National Credit Union Administration has issued a rule that clarifies that federal credit unions are not subject to state regulations of payment card transactions. The NCUA announcement on Monday is aimed at the Illinois Interchange Fee Prohibition Act that bans swipe fees on the tax and tip portions of credit and debit card transactions. The Illinois Bankers Association, Illinois Credit Union League, American Bankers Association and America’s Credit Unions issued a statement welcoming the NCUA’s “interim final” rule as IFPA litigation continues. The state legislature recently delayed the law’s effective date to July 1, 2027.