Current Situation

This week, Sens. Roger Marshall (R-KS) and Dick Durbin (D-IL), alongside Reps. Lance Gooden (R-TX) and Zoe Lofgren (D-CA) reintroduced the Credit Card Competition Act (CCCA) in the 119th Congress. The move comes as part of renewed bipartisan efforts to address rising credit card swipe fees and limited competition in the electronic payments market, and gained momentum this week by earning the support of President Donald Trump. Credit card processing costs remain one of the highest and least controllable operating expenses for taprooms, brewpubs, and on-premises retail operations.

Independent breweries rely heavily on direct-to-consumer sales, with the vast majority of transactions conducted via credit cards. Swipe fees typically range from 2 to 4 percent per transaction, disproportionately affecting hospitality businesses that depend on high-volume, small-dollar purchases such as beer, food, and merchandise. Unlike debit cards, where Congress acted in 2010 through the Durbin Amendment to allow routing choice and place caps on fees for large issuers, credit card fees remain unregulated.

The credit card market is currently dominated by two major payment networks that together handle more than 80 percent of all transactions nationwide. These networks update their fee schedules annually, often increasing costs for small businesses with little notice and few alternatives, a trend that has drawn bipartisan concern in Congress.

What the Credit Card Competition Act Would Do

To address rising costs, the CCCA focuses on introducing competition rather than imposing direct price controls. It features:

• Routing choice for merchants: The CCCA would require the largest credit card-issuing banks to enable at least two unaffiliated payment networks on their cards. This would allow merchants to choose the most cost-effective and secure routing option for each transaction, mirroring the competitive system already in place for debit cards.
• Market-driven pricing: The bill seeks to foster competition so pricing is shaped by the market rather than by a small number of dominant networks.
• Bipartisan support: Both the current and previous versions of the legislation have been led by a bipartisan group of lawmakers, reflecting shared concerns about market concentration and the financial burden swipe fees place on small and Main Street businesses.

Why This Matters to Independent Brewers

For independent breweries, credit card processing fees are not a marginal expense. They directly affect day-to-day operations and long-term business planning. High-volume, small-dollar transactions mean swipe fees consume a significant portion of taproom and brewpub revenue. Increased routing competition could meaningfully reduce these costs, keeping more dollars in the business. As card-based and contactless payments become increasingly common, and often carry higher rates, additional routing options could help stabilize and strengthen margins across beer, food, and merchandise sales. One study estimates that greater competition would have reduced credit card fees by roughly $17 billion in 2024, putting money back in the pockets of retail businesses like BA members.

With only two major networks dominating the market, breweries have few alternatives when fees rise. Competition would provide greater long-term cost stability, improving predictability for staffing, equipment investments, and expansion decisions. Independent breweries support local jobs, suppliers, and tourism. Reducing swipe fee burdens allows more revenue to remain in local communities rather than being absorbed by processing networks.

Stay Engaged

The Brewers Association supports the CCCA and will provide updates as the legislation makes its way through Congress. To ensure your perspective is represented, consider attending the 2026 Hill Climb in Washington, D.C., this coming February 24 & 25. Participation provides an opportunity to engage with lawmakers on the issues most critical to your business and to the future of independent brewing.