Big news in the payment card world! The Payment Card Interchange Fee and Merchant Discount Antitrust case (MDL No. 1720) wrapped up with a big win for merchants.
Settlement Highlights
This settlement stands out as one of the largest private antitrust agreements ever, totaling well over $6 billion. It all revolves around Interchange Fees – the charges that card-issuing banks collect every time a merchant takes a payment. The deadline to file is February 4, 2025.
Interchange History
Interchange fees started to cover the costs of running payment networks, championed by card associations (Visa, Mastercard, American Express, and Discover) and banks. This has morphed into a crucial part of merchants accepting payments.
Over time, payment cards evolved, with the rise of premium cards with perks like points and rebates coming at a cost – higher interchange rates. While consumers enjoyed perks, merchants faced the financial burden of these more costly payment products with no power to change them.
The $6 billion settlement involved the two major payment card networks – Visa and Mastercard – and numerous merchants alleging unfair routing practices, and a settlement was reached. Now you can receive a portion of this settlement.
Key Benefits for Merchants
Compensation: Merchants involved in the litigation are entitled to financial compensation as part of the settlement. The specifics of this compensation will be tailored to factors such as the size and type of your business, as well as the volume of transactions processed through these payment card networks.
Changes to Interchange Fee Practices
We anticipate potential changes to the way interchange fees are set and regulated. This could mean increased transparency and potential cost savings.
How You Can Benefit
We want to ensure you seize this opportunity to claim your share of the settlement. If you accepted Visa or MasterCard at any point between January 1, 2004, and January 25, 2019, you may be eligible for compensation. Now is the time to act!
Our dedicated team is waiting to assist you with the claims process and ensure you maximize the benefits from the settlement. Don’t let this opportunity slip away – reach out to us today for more information on claiming your share.
Disclaimer: Claim forms are being delivered and are available online beginning December 1, 2023. Class members need not sign up for a third-party service in order to participate in any monetary relief. No-cost assistance is available from the Class Administrator and Class Counsel during the claims-filing period. Additional information regarding the litigation is available at http://www.paymentcardsettlement.com.
