Visa and Mastercard interchange fees violate competition law

Published 27/06/2025, 20:14
© Reuters.

Investing.com -- Visa (NYSE:V) and Mastercard (NYSE:MA)’s default multilateral interchange fees charged to retailers violate competition law, according to a unanimous ruling by London’s Competition Appeal Tribunal on Friday.

The decision comes as part of ongoing legal proceedings involving hundreds of merchants who filed lawsuits against the global payment processors.

David Scott, global managing partner at Scott+Scott, the law firm representing the claimants, called the ruling "a significant win for all merchants who have been paying excessive interchange fees to Visa and Mastercard."

Both payment companies expressed disagreement with the tribunal’s decision and stated they plan to seek permission to appeal.

A Visa spokesperson defended the company’s position, saying, "Visa continues to believe that interchange is a critical component to maintaining a secure digital payments ecosystem that benefits all parties, including consumers, merchants and banks."

Similarly, a Mastercard spokesperson stated, "Mastercard strongly disagrees with today’s decision, which is deeply flawed, and will seek permission to appeal."

The tribunal’s ruling specifically found that the multilateral interchange fees breach European competition law, marking another chapter in this extended legal battle between merchants and the payment processing giants.

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