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OP-ED: Credit Card Swipe Fees Are Financial Inequities for Black America

NNPA NEWSWIRE — Swipe fee reform isn’t radical; it’s about fair competition and a level playing field. The Credit Card Competition Act (CCCA) — a bipartisan bill being considered in Congress — aims to introduce competition into this marketplace by requiring at least two competing processing networks on each credit card. This could save American consumers and businesses an estimated $15 billion annually.

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By Dr. Benjamin F. Chavis Jr., President and CEO, National Newspaper Publishers Association

America’s financial system is quietly reinforcing old inequities. Black American communities — historically denied access to wealth-building tools due to practices like redlining and restrictive banking — now face a new predatory financial hurdle: credit card swipe fees.

For Black Americans, swipe fees — which credit card companies use to fund luxury points programs — act as yet another layer of systemic discrimination, forcing many to pay more while receiving less in return.

Consider how credit card swipe fees work. Every time someone uses a credit card, the merchant is charged a fee — usually between 2% and 4% — which is often passed on to consumers through higher prices. Wealthier cardholders benefit from this system, recouping costs through rewards like fancy hotel stays and airline miles. But a legacy of discrimination has left Black families with fewer wealth-building opportunities, resulting in lower homeownership rates, lower credit scores, and higher debt burdens — putting those premium credit card and their luxury rewards out of reach for many.

In simple terms, Black Americans and other communities of color are left to foot the bill for the flights and perks of those who are considerably more affluent.

Black Americans are less likely to hold credit cards — 72% ownership compared to 88% for White Americans — and often face higher interest rates. 58% of Black Americans have more credit card debt than emergency savings, compared to 30% of White Americans. Black college graduates carry $25,000 more in student loan debt than their White counterparts, which can further harm their credit scores and financial stability.

It’s a painful irony: Black Americans, who are systematically excluded from wealth-building tools, end up paying more to access the same basic financial services. These financial pressures make it hard to escape revolving debt, and harder still to enjoy the rewards that banks offer. The promise of “free” rewards from swipe fees is an illusion for those who can barely afford to pay down their balance every month. While swipe fees aren’t solely responsible for racial wealth disparities, they compound existing financial burdens, making it even harder for Black families to build savings and financial security.

Black Americans are far from the only group that would benefit from comprehensive swipe fees reform: Small business owners and advocates across the country have been sounding the alarm and leading the calls. For small merchants, swipe fees are often their second-highest monthly cost after labor. These businesses  — which operate on razor-thin profit margins — are forced to raise prices to stay afloat. The average American family pays more than $1,100 a year in higher prices due to these fees.

The current swipe fee structure exists because the Visa-Mastercard duopoly controls 90% of the U.S. credit card processing market, allowing them to set and increase rates for merchants while blocking out competitors.

Swipe fee reform isn’t radical; it’s about fair competition and a level playing field. The Credit Card Competition Act (CCCA) — a bipartisan bill being considered in Congress — aims to introduce competition into this marketplace by requiring at least two competing processing networks on each credit card. This could save American consumers and businesses an estimated $15 billion annually.

The CCCA won’t end rewards programs — only the banks that offer them can decide that. In fact, a recent study found that the CCCA would have little to no impact on rewards. What the bill would do is end a broken system that preys on those with the least and benefits those with the most.

Reducing swipe fees through pro-competition reform won’t undo generations of economic inequality, but it’s a step toward dismantling one of the structures that reinforce it. A fairer financial landscape benefits everyone, not just those most impacted — and Black Americans have paid more to receive less for too long. It’s time for that to change. An inequality anywhere is a threat to equality everywhere.

Dr. Benjamin F. Chavis Jr. is President and CEO of the National Newspaper Publishers Association (NNPA) representing the Black Press of America and Executive Producer of The Chavis Chronicles on PBS TV Network. Dr. Chavis can be reached at dr.bchavis@nnpa.org.

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Remembering George Floyd

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OP-ED: Oregon Bill Threatens the Future of Black Owned Newspapers and Community Journalism

BLACKPRESSUSA NEWSWIRE — Nearly half of Oregon’s media outlets are now owned by national conglomerates with no lasting investment in local communities. According to an OPB analysis, Oregon has lost more than 90 news jobs (and counting) in the past five years. These were reporters, editors and photographers covering school boards, investigating corruption and telling community stories, until their jobs were cut by out-of-state corporations.

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By Dr. Benjamin F. Chavis, Jr.
President and CEO, National Newspaper Publishers Association

For decades, The Skanner newspaper in Portland, the Portland Observer, and the Portland Medium have served Portland, Oregon’s Black community and others with a vital purpose: to inform, uplift and empower. But legislation now moving through the Oregon Legislature threatens these community news institutions—and others like them.

As President and CEO of the National Newspaper Publishers Association (NNPA), which represents more than 255 Black-owned media outlets across the United States—including historic publications like The Skanner, Portland Observer, and the Portland Medium—l believe that some Oregon lawmakers would do more harm than good for local journalism and community-owned publications they are hoping to protect.

Oregon Senate Bill 686 would require large digital platforms such as Google and Meta to pay for linking to news content. The goal is to bring desperately needed support to local newsrooms. However, the approach, while well-intentioned, puts smaller, community-based publications at a future severe financial risk.

We need to ask – will these payments paid by tech companies benefit the journalists and outlets that need them most? Nearly half of Oregon’s media outlets are now owned by national conglomerates with no lasting investment in local communities. According to an OPB analysis, Oregon has lost more than 90 news jobs (and counting) in the past five years. These were reporters, editors, and photographers covering school boards, investigating corruption, and telling community stories, until their jobs were cut by out-of-state corporations.

Legislation that sends money to these national conglomerate owners—without the right safeguards to protect independent and community-based outlets—rewards the forces that caused this inequitable crisis in the first place. A just and inclusive policy must guarantee that support flows to the front lines of local journalism and not to the boardrooms of large national media corporations.

The Black Press exists to fill in the gaps left by larger newsrooms. Our reporters are trusted messengers. Our outlets serve as forums for civic engagement, accountability and cultural pride. We also increasingly rely on our digital platforms to reach our audiences, especially younger generations—where they are.

We are fervently asking Oregon lawmakers to take a step back and engage in meaningful dialogue with those most affected: community publishers, small and independent outlets and the readers we serve. The Skanner, The Portland Observer, and The Portland Medium do not have national corporate parents or large investors. And they, like many smaller, community-trusted outlets, rely on traffic from search engines and social media to boost advertising revenue, drive subscriptions, and raise awareness.

Let’s work together to build a better future for Black-owned newspapers and community journalism that is fair, local,l and representative of all Oregonians.

Dr. Benjamin F. Chavis Jr., President & CEO, National Newspaper Publishers Association

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Hate and Chaos Rise in Trump’s America

BLACKPRESSUSA NEWSWIRE — Tactics ranged from local policy manipulation to threats of violence. The SPLC documented bomb threats at 60 polling places in Georgia, traced to Russian email domains.

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By Stacy M. Brown
Black Press USA Senior National Correspondent

The Southern Poverty Law Center has identified 1,371 hate and antigovernment extremist groups operating across the United States in 2024. In its latest Year in Hate & Extremism report, the SPLC reveals how these groups are embedding themselves in politics and policymaking while targeting marginalized communities through intimidation, disinformation, and violence. “Extremists at all levels of government are using cruelty, chaos, and constant attacks on communities and our democracy to make us feel powerless,” said SPLC President Margaret Huang. The report outlines how hard-right groups aggressively targeted diversity, equity, and inclusion (DEI) initiatives throughout 2024. Figures on the far right falsely framed DEI as a threat to white Americans, with some branding it a form of “white genocide.” After the collapse of Baltimore’s Francis Scott Key Bridge, a former Utah legislator blamed the incident on DEI, posting “DEI = DIE.”

Tactics ranged from local policy manipulation to threats of violence. The SPLC documented bomb threats at 60 polling places in Georgia, traced to Russian email domains. Similar threats hit Jewish institutions and Planet Fitness locations after far-right social media accounts attacked them for trans-inclusive policies. Telegram, which SPLC describes as a hub for hate groups, helped extremists cross-recruit between neo-Nazi, QAnon, and white nationalist spaces. The platform’s lax moderation allowed groups like the Terrorgram Collective—designated terrorists by the U.S. State Department—to thrive. Militia movements were also reorganized, with 50 groups documented in 2024. Many, calling themselves “minutemen,” trained in paramilitary tactics while lobbying local governments for official recognition. These groups shared personnel and ideology with white nationalist organizations.

The manosphere continued to radicalize boys and young men. The Fresh & Fit podcast, now listed as a hate group, promoted misogyny while mocking and attacking Black women. Manosphere influencers used social media algorithms to drive youth toward male-supremacy content. Turning Point USA played a key role in pushing white nationalist rhetoric into mainstream politics. Its leader Charlie Kirk claimed native-born Americans are being replaced by immigrants, while the group advised on Project 2025 and organized Trump campaign events. “We know that these groups build their power by threatening violence, capturing political parties and government, and infesting the mainstream discourse with conspiracy theories,” said Rachel Carroll Rivas, interim director of the SPLC’s Intelligence Project. “By exposing the players, tactics, and code words of the hard right, we hope to dismantle their mythology and inspire people to fight back.”

Click here for the full report or visit http://www.splcenter.org/resources/guides/year-hate-extremism-2024.

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