CBA steps up attack on card reforms

The Commonwealth Bank’s CEO, David Murray, is continuing to criticise the Reserve Bank’s proposed overhaul of the credit card fee regimen.

Murray says that the CBA and other banks have invested a significant amount in card networks, which other institutions stand to gain at no cost.

Murray claims that the move will hurt bank revenues and that the consumer will ultimately be worse off, as there will be far less incentive for the banks to maintain the current level of services.

He claims that the RBA’s move to lower fees on credit cards by stopping the banks from passing on certain costs indicates that the RBA has a “social objective” and not an economic one.