8 Times Card Networks Saw Big Money Flowing the Wrong Way
Published July 23, 2012 4:39 PM
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Updated July 23, 2012 4:50 PM
1 Min Read
(Image: Thinkstock)
'Honor-All-Cards' Settlements
In 2003, Visa and MasterCard agreed to pay a combined $3.05 billion to settle a merchant class action led by Wal-Mart Stores Inc. over their "honor-all-cards" policies, which required retailers to accept all of the brands' cards if they took any one of them.
Visa Pays Amex $2.25B
In November 2007, Visa agreed to pay Amex up to $2.25 billion to settle a civil case alleging Visa conspired to prevent banks from issuing Amex cards. (Image: Bloomberg News)
MasterCard Pays Amex $1.8B
In June 2008, less than a year after Visa settled with Amex, MasterCard agreed to pay Amex $1.8 billion to settle a civil case over similar allegations. (Image: Thinkstock)
Visa Pays Discover $1.89B
Discover later received a settlement over the same issues. In October 2008, Visa agreed to pay Discover $1.89 billion to settle a civil case alleging Visa conspired to prevent banks from issuing Discover cards. (Image: Bloomberg News)
MasterCard Pays Discover $863 Million
In October 2008, MasterCard agreed to pay Discover $862.5 million to settle a civil case alleging MasterCard conspired to prevent banks from issuing Discover cards. (Image: Thinkstock)
Fed Halves Debit Interchange
In October 2011, the so-called Durbin amendment under Dodd-Frank resulted in the Federal Reserve Board halving debit card interchange to make the rates "reasonable and proportional." The policy change cost issuers an estimated $7 billion. (Image: Thinkstock)
Price-Fixing Settlement
In July 2012, Visa, MasterCard and the largest banks announced a settlement with U.S. retailers in a longstanding lawsuit over the interchange rates the networks set. The settlement's total cost is estimated to be $7.25 billion. (Image: Thinkstock)
Convenience Stores Want More
The National Association of Convenience Stores, representing more than 3,700 merchants, rejected the proposed settlement in the merchants' price-fixing antitrust case in hopes of securing a better deal. (Image: Thinkstock)
