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Mastercard and Visa Settle Card Fee Suit

Andrew Brunton
Mastercard and Visa Settle Card Fee Suit

Payment processing companies Visa (V) and Mastercard (MA) and a number of US banks have finally settled a lawsuit brought by millions of retailers over excess fees charged for accepting card payments. The arrangement has cost defendants $6.2 billion. Of the $900 million, Visa and Mastercard will pay $600 million and $108 million, respectively, while the remaining amount will be paid by other defendants including major US banks (XLF) such as Citigroup (C), JPMorgan Chase (JPM), and Bank of America (BAC).