You are correct if you interpret "Visa and Mastercard" as literally Mastercard Incorporated and Visa Inc. He used "Visa and Mastercard" as a metonymy for the e

You are correct if you interpret "Visa and Mastercard" as literally Mastercard Incorporated and Visa Inc. He used "Visa and Mastercard" as a metonymy for the entire payment processing network i.e. payment gateway + issuing bank + acquiring bank + card networks. The total fee for the entire network is indeed 3-4%, and as you rightly pointed out, Mastercard Incorporated and Visa Inc. fees actually only make up for less than half of the total transaction fees.