UPDATED: I Thought the Durbin Amdt. was supposed to help consumers?

Via email:

Dear Valued Member,

Beginning October 29th, transaction fees in DC will increase from $0.32 to $0.45 due to increased costs triggered by recent federal legislative reform enacted by the Dodd-Frank Wall Street Reform and Consumer Protection Act’s Durbin Amendment.

To help offset this increase Parkmobile has developed the Parkmobile Wallet which will provide a more cost-effective parking experience in DC – Wallet transactions will carry a $.30 transaction fee. You can update your payment method to the Parkmobile Wallet via your Personal Pages at www.parkmobile.com or from your mobile app (if using iPhone or Android). If you have forgotten your username/password you can retrieve it using your registered mobile phone number and the last four digits of the credit card on file. The Parkmobile Wallet is FDIC insured.

For more information please visit our website at www.parkmobile.com and click on the Parkmobile Wallet link. If you have further questions click on the orange ‘Help’ tab or email helpdesk@parkmobileglobal.com.

Sincerely,

Tina Dyer
Marketing & Sales Support Manager
Parkmobile USA, Inc.

And from a Press Release:

They can continue to use existing payment methods, but due to increased cost related to the Durbin Amendment the transaction fee will be changed from $0.32 to $0.45.

I guess the Durbin Amendment isn’t as beneficial for consumers as we were told…

UPDATE: HOH reports:

Senate Majority Whip Dick Durbin (D-Ill.) fired back by penning Mayor Vincent Gray a sternly worded letter.

“Mayor Gray, in order to avoid any potential confusion,” Durbin began. “I request that you and DDOT make clear that the District of Columbia Government does not agree with Parkmobile’s analysis of the cause of these fee increases or endorse Parkmobile’s disingenuous assignment of blame.”

This Wednesday, “plus 13 cent Durbin tax” stickers have started popping up on parking meters.

UPDATE 2: ParkMobile has backpedalled. I wonder what Mayor Gray threatened them with.

Dear Valued Member,

Last week in a press release and email announcement introducing the Parkmobile Wallet, a simpler, lower cost way to pay for parking in the District of Columbia, the company made an overly simplistic statement about the underlying cause of increasing card transaction fees. In an attempt to explain why costs have increased the company left the potentially confusing impression that Federal legislation is to blame. The company apologizes for any confusion caused by this statement.

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