DOJ Takes Action Against Visa for Blocking Payment Competitors
DOJ Files Antitrust Lawsuit Against Visa
The Department of Justice has taken a significant step by filing an antitrust lawsuit against Visa, claiming the financial services giant maintains an illegal monopoly over the debit network markets. This action, following a multi-year investigation that Visa disclosed in 2021, sheds light on the company's practices.
Allegations of Unlawful Market Control
The lawsuit alleges that Visa has sought to illegally crush competitors, particularly fintech platforms such as PayPal and Square. US Attorney General Merrick Garland stated, “We allege that Visa has unlawfully amassed the power to extract fees that far exceed what it could charge in a competitive market.”
Impact on Consumers
- Merchants and banks transfer increased costs to consumers.
- Consumers may experience higher prices or lower service quality.
- This conduct potentially influences pricing across diverse sectors.
Garland added, “As a result, Visa’s unlawful conduct affects not just the price of one thing — but the price of nearly everything.”
This article was prepared using information from open sources in accordance with the principles of Ethical Policy. The editorial team is not responsible for absolute accuracy, as it relies on data from the sources referenced.