Visa, Mastercard to cap card fees for non-EU travelers

Thursday 3 January 2019 09:10 CET | News

The European Commission has announced that non-EU Mastercard and Visa cards used in European stores will have the same rates of interchange fees as European cards

According to the announcement, cards issued in other regions and used in face-to-face or cardholder-present transactions in EU travel retail stores will pay the same interchange fees as a card issued in Europe. Commercial cards are not covered, while remote sales (ecommerce and telesales) card transactions will have higher interchange fees.

According to TR Business, the two companies have offered to cap face-to-face transactions at 0.2% for debit and 0.3% for credit transactions, while online transactions will be capped separately at 1.15% for debit and 1.5% for credit.

EU interchange fees provide a default basic transaction charge between the cardholder and merchant’s banks. The EU recognised that these fees were not competitive outside European competition rules.

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Keywords: Visa, MasterCard, card fee, debit card, credit card, European Union, retail, Europe, interchange fee
Countries: World