Home » Economy » Visa, Mastercard could raise swipe fees on many merchants: sources
Visa, Mastercard could raise swipe fees on many merchants: sources
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Many small businesses could have another thing to worry about when they come out of a coronavirus coma: higher credit-card fees.
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Visa Inc. and Mastercard Inc. had planned to raise swipe fees on many merchants this year, and the changes in some cases would be hardest on small businesses, according to people familiar with the situation. It is unclear if the fee changes, in the works for months, will be rolled out if the pandemic persists.
Already, the abrupt global slowdown has been most acute for the smallest businesses, which tend to operate on thinner profit margins and smaller cash reserves.
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Visa's potential plans include increasing interchange fees associated with many consumer credit cards for many of the smallest retailers while lowering them for many of the largest ones, according to some of the people and a document reviewed by The Wall Street Journal. Many restaurants, both large and small, could also be affected.