Definition
Fees paid by merchants’ banks to card-issuing banks on each card transaction, set by visa and mastercard network rules. Average ~2.36% for Visa/Mastercard in 2025 per merchant objections.
Key Points
- Central to 2005 MDL antitrust litigation (21+ years)
- Sept 2026: 978 merchants object to proposed settlement — 0.1pp cut for 5 years deemed inadequate
- “Honor all cards” rule prevents merchant rejection of high-fee premium cards