Payments News

European Commission fines Mastercard $647.5M over interchange rules

Jan 22, 2019

The European Commission has fined Mastercard about $647.5.million (570 million euros) relating to charges that it prevented merchants from finding better terms from other banks in the common market, according to a press release.

The EC opened an antitrust investigation in 2013 of Mastercard's rules over the interchange fee. The fee is what a retailer's bank, known as the acquiring bank, pays to the cardholder's bank when a consumer buys something with a credit or debit card and the retailer passes on to the buyer in the way of higher prices.

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