Visa, Mastercard Agree to Minor Swipe Fee Cuts in Deal with Retailers

• Visa and Mastercard reach agreement with retailers to lower interchange or "swipe" fees by 0.07% over next 5 years

• This saves retailers billions, but could impact consumer rewards if banks pull back

• Settlement occurs amid pressure for legislation to regulate fees, but this agreement may negate need for new laws

• However, Senator Durbin still wants to pass bill to increase competition between card networks

• Overall this is seen as positive for small businesses and consumers, but impacts remain to be seen