As families across the country gear up for back-to-school season, they’re juggling long shopping lists, tight schedules, and stretched budgets. Whether buying supplies, clothes, or electronics, these transactions highlight a broader issue: the need for a faster, more competitive payment system in the U.S. 

While parents are hunting for deals, hidden payment fees are quietly hiking up prices. That’s where a modernized U.S. payment system comes in. Opening payment networks and establishing a payments charter will encourage competition. This will give consumers and small businesses more choices, leading to fewer fees and lower payment costs.

💳 Lower Fees, Bigger Savings

• Whether you’re grabbing notebooks or running a neighborhood shop, high transaction fees sneak into every purchase. Since banks currently control access to payment systems, there’s not much choice, and that lack of competition keeps fees high. 
• Opening up federal payment networks would give new platforms a chance to compete, driving down costs and putting money back where it belongs: in your wallet.

💰 Real Savings for Real People

• Digital payments should be quick and affordable, but today’s outdated systems make it expensive just to move your own money. From overdraft fees to interest on short-term loans used to cover gaps caused by delayed payments, the Brookings Institute estimates that American consumers lose up to $10 billion a year—money that could be spent on backpacks, lunchboxes, or tuition.

🛍️ A Better Deal for Small Businesses

• Small businesses—like the mom-and-pop shops selling school supplies—often pay the steepest price. Payment processing fees are baked into every transaction, raising prices and cutting into already thin margins. Only banks can access card networks and the ACH system, which limits competition and allows them to hike up fees. 
• With open access to federal payment rails, these businesses could skip the middlemen and lower costs on everything from maintenance fees to ATM charges. That means more affordable prices for customers and a healthier bottom line for business owners.

In the rush of back-to-school season, every dollar counts. For families navigating this hectic time, a more efficient payment system isn’t just a convenience – it’s a necessity. By embracing faster, lower-cost payment solutions, the U.S. can reduce financial friction and help families focus less on logistical headaches and more on what really matters: setting their children up for a successful school year.

At ASAP, we’re committed to working with Congress and elected officials on policy solutions that empower consumers and small businesses with more options to move money faster, securely, easily, and affordably.

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