Trade Group Wants Credit Card Swipe Fees Delayed Permanently
Visa and Mastercard are delaying a complex restructuring of credit card swipe fees, slated to take effect next month, until April 2022. But the National Retail Federation is calling for the swipe fee increase to be cancelled altogether.
“This increase would have hit virtually all merchants at a time when they could least afford it,” commented NRF’s Leon Buck. “And we were particularly concerned by higher fees for online transactions when so many retailers have relied on ecommerce to get through COVID-19.”
According the Nilson Report, processing fees vary by type of card, transaction and size of merchant but average 2.25 percent of the purchase price on Visa and Mastercard credit cards. Between 2009 and 2019, the aggregate cost of these fees rose more than 164 percent to $67.6 billion in 2019. All processing fees paid by U.S. merchants to accept all credit card payments were $116.4 billion in 2019.