Visa, Mastercard Reach Revised Settlement with Retailers Over Swipe Fees
Visa and Mastercard have finalized a revised settlement with retailers, marking a potential end to two decades of litigation over credit card processing fees. The agreement comes after a federal judge rejected an earlier $30 billion proposal, forcing the card networks to adjust terms.
The new deal introduces marginal reductions in swipe fees while granting merchants increased flexibility in payment acceptance. Retailers now gain the ability to independently choose whether to accept commercial or consumer credit cards—a concession that could reshape transaction dynamics at checkout counters nationwide.
Interchange rates will see a systematic 10-basis-point reduction across U.S. consumer and commercial credit transactions. This adjustment, while modest, represents the first significant structural change to fee arrangements since the antitrust lawsuits began in 2005.
