RUSH TRANSCRIPT Charles so ░░░░░░░░ meant my next guest ░░░░░░░░ with his colleague senator ░░░░░░░░ durbin introduced a bill ░░░░░░░░ as the credit card ░░░░░░░░ act of 2022 in ░░░░░░░░ effort to inject real ░░░░░░░░ into the credit card ░░░░░░░░ market The bill found ░░░░░░░░ from the national federation ░░░░░░░░ independent businesses Those are ░░░░░░░░ small businesses but of ░░░░░░░░ that means the big ░░░░░░░░ are pushing back Joining ░░░░░░░░ senator from Kansas Roger ░░░░░░░░ Senator bank rate also ░░░░░░░░ out against your bill ░░░░░░░░ it would harm consumers ░░░░░░░░ listed all kinds of ░░░░░░░░ It would harm reward ░░░░░░░░ data security access to ░░░░░░░░ What are your thoughts ░░░░░░░░ this Obviously you knew ░░░░░░░░ would come after you ░░░░░░░░ circled the wagons Right ░░░░░░░░ will always fight main ░░░░░░░░ versus Wall Street I ░░░░░░░░ going to fight for ░░░░░░░░ and right now consumers ░░░░░░░░ the pinch of inflation ░░░░░░░░ credit card swipe fees ░░░░░░░░ that inflation On a ░░░░░░░░ of gas we were ░░░░░░░░ a 6 tax for ░░░░░░░░ swipe fee Now we ░░░░░░░░ paying 12 Swipe fees ░░░░░░░░ inflation multiplier This will ░░░░░░░░ good for the market ░░░░░░░░ needs competition Competition is ░░░░░░░░ backbone Two credit card ░░░░░░░░ control 83 of the ░░░░░░░░ Despite their profits going ░░░░░░░░ by 25 they still ░░░░░░░░ their rate this year ░░░░░░░░ what we do is ░░░░░░░░ competition not price caps ░░░░░░░░ want more competition Charles ░░░░░░░░ Seems like an idea ░░░░░░░░ would take off considering ░░░░░░░░ of the backing behind ░░░░░░░░ like overdraft fees and ░░░░░░░░ like that I want ░░░░░░░░ talk about the country ░░░░░░░░ general There was a ░░░░░░░░ that you put out ░░░░░░░░ made me think of ░░░░░░░░ You know listen we ░░░░░░░░ we re in a ░░░░░░░░ period right now One ░░░░░░░░ of the spectrum you ░░░░░░░░ taxpayers who are paying ░░░░░░░░ college loans right These ░░░░░░░░ folks that will end ░░░░░░░░ making five million dollars ░░░░░░░░ year Unfortunately on the ░░░░░░░░ end of the second ░░░░░░░░ we have debts of ░░░░░░░░ This is skyrocketing This ░░░░░░░░ the real emergency Is ░░░░░░░░ done on Capitol Hill ░░░░░░░░ this Certainly not enough ░░░░░░░░ We have a epidemic ░░░░░░░░ mental health issues depression ░░░░░░░░ fentanyl poisoning We have ░░░░░░░░ to 10 000 excessive ░░░░░░░░ per week We re ░░░░░░░░ the White House to ░░░░░░░░ down the southern border ░░░░░░░░ of the fentanyl comes ░░░░░░░░ the southern border This ░░░░░░░░ a result of the ░░░░░░░░ This is a result ░░░░░░░░ masking on people that ░░░░░░░░ to have social problems ░░░░░░░░ getting back into the ░░░░░░░░ world this isolation was ░░░░░░░░ This is the result ░░░░░░░░ many mandates by the ░░░░░░░░ and sitting governors In ░░░░░░░░ s Washington Post there ░░░░░░░░ a headline that reads ░░░░░░░░ wants to be the ░░░░░░░░ party Democrats have to ░░░░░░░░ back You know this ░░░░░░░░ something of course that ░░░░░░░░ GOP is very passionate ░░░░░░░░ In fact there is ░░░░░░░░ Gallup poll that points ░░░░░░░░ an all time low ░░░░░░░░ k 12 in the ░░░░░░░░ Party However I would ░░░░░░░░ it would be better ░░░░░░░░ say the Republicans wants ░░░░░░░░ be parent party the ░░░░░░░░ that represent parents Isn ░░░░░░░░ that more accurate Charles ░░░░░░░░ ll hire you as ░░░░░░░░ messenger that is exactly ░░░░░░░░ Look I m a ░░░░░░░░ generation college student My ░░░░░░░░ and I both educated ░░░░░░░░ public schools Our four ░░░░░░░░ in public schools Public ░░░░░░░░ Everything I own professionally ░░░░░░░░ a physician I owe ░░░░░░░░ those public school teachers ░░░░░░░░ had but unfortunately we ░░░░░░░░ record numbers of people ░░░░░░░░ Kansas leaving the public ░░░░░░░░ system I think this ░░░░░░░░ a result of those ░░░░░░░░ lockdowns I mentioned earlier ░░░░░░░░ impacted mental health Time ░░░░░░░░ hold the governors accountable ░░░░░░░░ think my message of ░░░░░░░░ would be this We ░░░░░░░░ young adults with traditional ░░░░░░░░ American values running for ░░░░░░░░ board We need to ░░░░░░░░ those superstars to make ░░░░░░░░ they guard the education ░░░░░░░░ children are getting There ░░░░░░░░ only so much I ░░░░░░░░ do to stop the ░░░░░░░░ that coming out of ░░░░░░░░ We want parents in ░░░░░░░░ of their own kids ░░░░░░░░ Charles I think a ░░░░░░░░ of parents had the ░░░░░░░░ to see what their ░░░░░░░░ were learning look over ░░░░░░░░ shoulders saying what This ░░░░░░░░ important topic for me ░░░░░░░░ years I ve seen ░░░░░░░░ down versions of education ░░░░░░░░ so many people Our ░░░░░░░░ are ready for it ░░░░░░░░ re ready for tough ░░░░░░░░ They re ready to ░░░░░░░░ taught a proper way ░░░░░░░░ to be indoctrinated for ░░░░░░░░ of a better word ░░░░░░░░ you re doing great ░░░░░░░░ Appreciate you taking time ░░░░░░░░ Marshall Thank you Charles ░░░░░░░░ joining me senior managing ░░░░░░░░ Lisa Ellis Lisa you ░░░░░░░░ the brilliant smile I ░░░░░░░░ having you on If ░░░░░░░░ were down 500 or ░░░░░░░░ 500 you re going ░░░░░░░░ be smiling I guess ░░░░░░░░ would too if I ░░░░░░░░ your track record I ░░░░░░░░ to talk about from ░░░░░░░░ investor s point of ░░░░░░░░ impact of credit card ░░░░░░░░ act I was talkinging ░░░░░░░░ the senator about Look ░░░░░░░░ is worth watching this ░░░░░░░░ always a pain point ░░░░░░░░ the U S That ░░░░░░░░ the credit card swipe ░░░░░░░░ Reality is it s ░░░░░░░░ popular legislation with consumers ░░░░░░░░ consumers love their credit ░░░░░░░░ They love rewards programs ░░░░░░░░ those are travel oriented ░░░░░░░░ whether cash back oriented ░░░░░░░░ certainly not popular with ░░░░░░░░ who use these rewards ░░░░░░░░ as a main method ░░░░░░░░ attracting consumers There is ░░░░░░░░ lot of challenges as ░░░░░░░░ highlighted by parties in ░░░░░░░░ ecosystem where a lot ░░░░░░░░ the security you know ░░░░░░░░ we kind of take ░░░░░░░░ granted with our credit ░░░░░░░░ if there is a ░░░░░░░░ transaction we re not ░░░░░░░░ to liable for that ░░░░░░░░ lot is enabled by ░░░░░░░░ existing system When you ░░░░░░░░ mucking around with it ░░░░░░░░ start to chip away ░░░░░░░░ that So this is ░░░░░░░░ where we understand the ░░░░░░░░ The best thing I ░░░░░░░░ always recommend to merchants ░░░░░░░░ merchants who are the ░░░░░░░░ that are typically complain ░░░░░░░░ the swipe fees is ░░░░░░░░ they can participate in ░░░░░░░░ There is a lot ░░░░░░░░ innovative you know store ░░░░░░░░ rewards programs nowadays through ░░░░░░░░ that drive loyalty and ░░░░░░░░ real usage of cards ░░░░░░░░ repeat purchasing at merchants ░░░░░░░░ best off frankly kind ░░░░░░░░ like if you can ░░░░░░░░ beat them join them ░░░░░░░░ working with banks working ░░░░░░░░ the existing ecosystem to ░░░░░░░░ some of those loyalty ░░░░░░░░ rather than trying to ░░░░░░░░ back against it because ░░░░░░░░ s a real inhull ░░░░░░░░ We ve gone down ░░░░░░░░ path before and the ░░░░░░░░ is the existing system ░░░░░░░░ really well in the ░░░░░░░░ S Charles speaking of ░░░░░░░░ apple pay I just ░░░░░░░░ today has surged past ░░░░░░░░ in digital payments six ░░░░░░░░ That is serious competition ░░░░░░░░ do you make of ░░░░░░░░ move Yeah That s ░░░░░░░░ interesting reflection of the ░░░░░░░░ of contactless payments you ░░░░░░░░ where finally and it ░░░░░░░░ taken years but finally ░░░░░░░░ the U S and ░░░░░░░░ mature markets you have ░░░░░░░░ that tap and pay ░░░░░░░░ enabled at the point ░░░░░░░░ sale which really what ░░░░░░░░ allowed apple pay to ░░░░░░░░ take off seven years ░░░░░░░░ eight years in Charles ░░░░░░░░ The reality apple pay ░░░░░░░░ just a container for ░░░░░░░░ It is still funded ░░░░░░░░ your mastercard your visa ░░░░░░░░ your American Express card ░░░░░░░░ the back end It ░░░░░░░░ just replacing essentially the ░░░░░░░░ the physical plastic card ░░░░░░░░ got you Still underlying ░░░░░░░░ method is a card ░░░░░░░░ amazing how quickly it ░░░░░░░░ taken off Lisa this ░░░░░░░░ Morgan Stanley lowered their ░░░░░░░░ on a firm afrm ░░░░░░░░ 53 bucks from 80 ░░░░░░░░ Is it time to ░░░░░░░░ taps for buy now ░░░░░░░░ later Laughter Well I ░░░░░░░░ hunker down for a ░░░░░░░░ stretch here with buy ░░░░░░░░ pay later There is ░░░░░░░░ consumer demand for these ░░░░░░░░ lending programs We saw ░░░░░░░░ through the pandemic We ░░░░░░░░ to see pretty strong ░░░░░░░░ numbers around buy now ░░░░░░░░ later however it has ░░░░░░░░ industry needs to go ░░░░░░░░ a period of maturation ░░░░░░░░ CFPB has to put ░░░░░░░░ regulatory guardrails around this ░░░░░░░░ We have to see ░░░░░░░░ consumer transparency around what ░░░░░░░░ they will be charged ░░░░░░░░ their protections are and ░░░░░░░░ need to go through ░░░░░░░░ consumer credit cycle to ░░░░░░░░ test out these business ░░░░░░░░ through that consumer credit ░░░░░░░░ I would yeah put ░░░░░░░░ ones on the backburner ░░░░░░░░ year or two while ░░░░░░░░ work through regulatory and ░░░░░░░░ issues Charles by golly ░░░░░░░░ were so exciting a ░░░░░░░░ ago Florida had a ░░░░░░░░ billion dollar market cap ░░░░░░░░ would take over the ░░░░░░░░ what about the pl ░░░░░░░░ pay later will anyone ░░░░░░░░ that I was going ░░░░░░░░ ask you about stock ░░░░░░░░ you like visa American ░░░░░░░░ mastercard fiserv accenture two ░░░░░░░░ Keep them on the ░░░░░░░░ to watch them Appreciate ░░░░░░░░ wisdom an attitude Thank ░░░░░░░░ very much leeza Terrific ░░░░░░░░ Charles Charles coming up ░░░░░░░░ age takeaway on age ░░░░░░░░ discontent and despair Man ░░░░░░░░ there is more important ░░░░░░░░ than what you took ░░░░░░░░ a major We ll ░░░░░░░░ right back