Visa and Mastercard reach historic settlement to slash credit card interchange fees

Tuesday, 26 March 2024, 14:20

Visa and Mastercard have agreed to significantly lower and cap credit card interchange fees in a groundbreaking antitrust settlement with U.S. merchants. The deal is expected to save merchants tens of billions of dollars over the next five years. This settlement marks the end of a lengthy legal battle and intricate negotiations, providing relief to small businesses and introducing more competitive tools for merchants.
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Visa and Mastercard reach historic settlement to slash credit card interchange fees

Visa and Mastercard's Agreement

Visa and Mastercard have agreed to reduce and cap credit card interchange fees as part of a landmark antitrust settlement with U.S. merchants, potentially saving billions of dollars over the next five years.

Market Impact and Settlement Details

  1. This settlement presents substantial relief to small businesses by rolling back 'swipe fees' and ensuring fee stability for the next five years.
  2. Merchants are expected to benefit from at least $29.8 billion in savings due to these changes.
  3. While the settlement provides immediate relief, the debate on enhancing competition in the credit card market continues on Capitol Hill.

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.


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