November 20, 2009

MP Lois Brown applauded the release for public consultation of a proposed Code of Conduct for the Credit and Debit Card Industry in Canada by The Honourable Jim Flaherty, Minister of Finance.

"This proposed Code is intended to promote fair business practices and ensure merchants and consumers clearly understand the costs and benefits of credit and debit cards," said Minister Flaherty.

The proposed Code of Conduct is based on ongoing discussions with merchant and consumer associations across Canada. Once adopted, the proposed Code would respond to their views by:

• Ensuring that merchants are fully aware of the costs associated with accepting credit and debit card payments. 
• Providing merchants with increased pricing flexibility to encourage consumers to choose the lowest-cost payment option. 
• Allowing merchants to freely choose which payment options they will accept.

The proposed Code of Conduct is being circulated for a 60-day comment period. During this period, stakeholders are invited to submit their views on how best to monitor compliance with the proposed Code. Comments can be submitted to codeconsult@fin.gc.ca.

"I welcome input in the process to ensure the proposed Code ultimately meets its goals," said Minister Flaherty. "The Government supports efforts that encourage a competitive environment which provides for fair pricing practices, innovation, a safe and secure payment system, and high quality services for consumers and merchants."

The recently released credit card regulations complement this initiative in protecting credit card users by making clearer and more transparent information available to them.

"By making clearer information available to consumers and encouraging fairer business practices, our Government is taking unprecedented steps to protect Canadian consumers," said Minister Flaherty.

 “Entrepreneurs work hard to make their businesses successful and create jobs,” said MP Lois Brown.  “A Code of Conduct will ensure there is clear information available for them and consumers, increase transparency and help encourage fairer business practices.  Many of our businesses in Newmarket and Aurora are small and medium size and I encourage all of them to review the suggested Code of Conduct over the next two months.”


Read the Draft Code of Conduct Here
http://www.fin.gc.ca/n08/data/09-109_1-eng.asp