Obama Donates to Credit Card Companies
From what I have read, Democratic Presidential Candidate Barack Obama likes to proclaim that he is free from the influence of big businesses. But Obama is in debt to credit card companies for much of his fundraising success, and the cost of processing those credit card donations over the internet is surprisingly high.
In May, I speculated about the ultimate costs of campaign contributions on small donors who were contributing via credit cards over the internet. Were those donors paying the cards off or ultimately paying much more because of interest payments on their credit card debt? A blog for the New York Times has taken that calculation a step further - noting that Bank of America and American Express have received $7 million in credit card fees from the Obama campaign, which has raised $135 million from donors giving $200 or less. The campaign has to pay the same credit card transaction fees that have gas station owners up in arms currently.
