Proposed bans on collecting interchange fees for some payments have advanced in Colorado and Delaware. .A Colorado Senate committee earlier this month advanced a bill that would ban collecting interchange fees for sales taxes, after the chamber’s Democratic leadership switched out a party member on the committee who opposed the bill with the legislation’s main sponsor, according to the American Bankers Association. A Delaware House committee advanced a bill disallowing collecting interchange fees for tips. Neither bill has been taken up by their respective chambers. The proposals were introduced as the first state to pass a similar bill, Illinois, plans to ban banks and payment networks from charging or collecting interchange fees in the state on taxes or gratuity. A district judge last month kept in place most of the law, only doing away with only the part relating to data sharing. Banking trade groups appealed the ruling. The Illinois law threatens the national banking system by running afoul of federal regulation, according to separate court filings last week from the Office of the Comptroller of the Currency and a group of 10 former comptrollers. The law was set to take effect last year, but its effective date has been pushed back to the middle of 2026 to give time for the court ruling. A partial injunction against the law already applies to federally chartered banks and out-of-state chartered banks.
