Get Started

Learn more about Credit Cards, Travel Programs, Deals, and more.

Visa and Mastercard to Slash Fees by $30 Billion Over 5 Years

This post may contain affiliate links - Advertiser Disclosure. As an Amazon Associate, we earn from qualifying purchases.

Visa and Mastercard to Slash Fees by $30 Billion

Visa and Mastercard announced today that they have reached an agreement to settle e long lasting lawsuit. The two companies will lower and limit credit card interchange rates as part of the settlement with U.S. merchants. The settlement comes after almost two decades of litigation.

US Merchants are estimated to save $30 billion over five years on swipe fees they pay when customers make purchases using their Visa or Mastercard.

Under the settlement announced today, Visa and Mastercard will reduce interchange rates by four basis points (0.04 percentage points) in the United States for three years, and maintain the swipe fee rates that existed as of December 31, 2023 for five years.

Typically swipe fees cost merchants 2% of the total transaction a customer makes but can go as high as 4% for some premium rewards cards.

Both credit card networks have also agreed to remove anti-steering provisions. That means that merchants will have more discretion to offer discounts, or impose surcharges on cards with higher interchange fees.

Reuters reports that the settlement requires approval by U.S. District Judge Margo Brodie in Brooklyn, New York, likely not before late 2024 or early 2025, and appeals are possible.
Disclosure: Miles to Memories has partnered with CardRatings for our coverage of credit card products. Miles to Memories and CardRatings may receive a commission from card issuers.

Lower Spend - Chase Ink Business Preferred® 100K!

Chase Ink Business Preferred® is a powerful card that earns 3X Ultimate Rewards points in a broad range of business categories on the first $150K in spend per year. Right now earn 100K Chase Ultimate Rewards points after $15K $8K spend in the first 3 months with a $95 annual fee.

Learn more about this card and its features!

Opinions, reviews, analyses & recommendations are the author’s alone, and have not been reviewed, endorsed or approved by any of these entities.
Based in NYC. Points/miles enthusiast for years and actively writing about it for the last 6+ years at Danny the Deal Guru. I'm always looking out for deals. Making a few bucks is always nice, but the traveling is by far the best part of this business.

Responses are not provided or commissioned by the bank advertiser. Responses have not been reviewed, approved or otherwise endorsed by the bank advertiser. It is not the bank advertiser's responsibility to ensure all posts and/or questions are answered.


Please enter your comment!
Please enter your name here