3 ms·

>The changes could result in merchants paying an additional $502 million annually in fees Considering the global reach of the two processing networks...that se

>The changes could result in merchants paying an additional $502 million annually in fees Considering the global reach of the two processing networks...that seems small enough to be a rounding error. Hardly surprising considering the costs of everything seem to be on the rise.

26fingies 3y ago
Their fees are a percentage though…
- skyeto 3y ago
  ...and this is why it's mostly a good thing that the fee %'s are capped in the EU
  - w3ll_w3ll_w3ll 3y ago
    Actually just a specific fee is capped in EU, the interchange fee. "Interchange is a small fee typically paid by acquirers (retailer’s bank) to issuers (cardholder's bank), to recognise the value delivered to retailers, governments and consumers by accepting electronic payments." The interchange fee does not go to Visa or Mastercard, do I think they are free to increase any other fee (if they are not colluding in a cartel ;) BTW This is the reason that in EU credit cards gives no rewards or very small ones. Rewards are, for the most part, coming out of the interchange fee. https://www.mastercard.com/europe/en/regulatory/european-interchange.html https://www.mastercard.com/europe/en/regulatory/european-int...
    - skyeto 3y ago
      Ah, forgot that this is talking about assessment fees! :)
pwndByDeath 3y ago
500M out of 93B is about 0.5%
- datavirtue 3y ago
  I'm sure all those small businesses can just shrug off another half-percent. /sarcasm I have been running into a lot of fee recovery by small businesses here in Ohio. The state parks definitely recover all fees from card payments. Debit or credit card.
  - mh- 3y ago
    Until 2013, merchants mostly weren't allowed to charge an added fee for credit cards. It's taken time for businesses to adapt to this change, term processing agreements to come up for renewal, etc.

3 ms·

>The changes could result in merchants paying an additional $502 million annually in fees Considering the global reach of the two processing networks...that se

by sithadmin 3y ago

26fingies 3y ago
Their fees are a percentage though…
- skyeto 3y ago
  ...and this is why it's mostly a good thing that the fee %'s are capped in the EU
  - w3ll_w3ll_w3ll 3y ago
    Actually just a specific fee is capped in EU, the interchange fee. "Interchange is a small fee typically paid by acquirers (retailer’s bank) to issuers (cardholder's bank), to recognise the value delivered to retailers, governments and consumers by accepting electronic payments." The interchange fee does not go to Visa or Mastercard, do I think they are free to increase any other fee (if they are not colluding in a cartel ;) BTW This is the reason that in EU credit cards gives no rewards or very small ones. Rewards are, for the most part, coming out of the interchange fee. https://www.mastercard.com/europe/en/regulatory/european-interchange.html https://www.mastercard.com/europe/en/regulatory/european-int...
    - skyeto 3y ago
      Ah, forgot that this is talking about assessment fees! :)
pwndByDeath 3y ago
500M out of 93B is about 0.5%
- datavirtue 3y ago
  I'm sure all those small businesses can just shrug off another half-percent. /sarcasm I have been running into a lot of fee recovery by small businesses here in Ohio. The state parks definitely recover all fees from card payments. Debit or credit card.
  - mh- 3y ago
    Until 2013, merchants mostly weren't allowed to charge an added fee for credit cards. It's taken time for businesses to adapt to this change, term processing agreements to come up for renewal, etc.