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Visa Europe must cut cross-border credit fees

By  |  August 1, 2012

The European Commission (EC) denounced Visa Europe’s credit card fees for cross-border transactions, and some domestic fees, saying they harm inter-bank competition and ultimately raise prices for consumers. The EC’s statement of objections focuses on Visa’s MIFs (multilateral interchange fees) and how they push merchants to overcharge customers to absorb the extra costs. In 2010 Visa Europe cut debit card fees substantially to assuage the EC’s claims of anticompetitive activity.

Visa Europe has much to lose in this new development, as the EC could fine the company up to ten percent of their record €1 billion in revenues last year.

Full content: Reuters

 

Related content:  The Master Card Decision and Interchange Fees

 

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