Visa, Mastercard Settlement with Merchants Could Save Billions in Swipe Fees

• Visa and Mastercard announced a settlement with U.S. merchants related to swipe fees, which could save consumers tens of billions of dollars

• The deal would lower and cap fees charged by Visa and Mastercard and allow small businesses to collectively bargain for rates

• Settlement stems from a 2005 lawsuit alleging merchants paid excessive fees to accept Visa and Mastercard cards

• Merchants say the settlement is a positive step but does not fully address anti-competitive rate-setting practices

• Settlement is in addition to a $5.54 billion settlement between Visa/Mastercard and 18 million businesses over card fees