Visa raises interchange fees for UK-based cardholders

Tuesday 23 March 2021 10:56 CET | News

Visa has been reported to follow Mastercard’s earlier decision as it plans to increase interchange fees on purchases made by British customers from most of Europe.

According to Payments Cards & Mobile, the company is preparing to inform its 4,000 clients that the interchange fees will be hiked to 1.5% for online credit card payments. 

The payment processor plans to increase scheme fees on UK-EU transactions, as well as charge more for domestic payments using British company credit cards, added the people. Consequently, from October 2021, Visa will charge 1.5% of the transaction value for credit card payments made online or over the phone between the UK and EU, and 1.15% for debit card transactions, up from 0.3% and 0.2% respectively.

Moreover, the separate plan to increase scheme fees will apply to transactions between the UK and the EU and take effect from July 2022. Meanwhile, the rise in interchange fees – which include corporate credit cards – will come into force in April 2022 and will add to costs for companies, especially in sectors like travel which rely on business spending and have been hit hard in the pandemic, Payments Cards & Mobile reported.

More: Link

Free Headlines in your E-mail

Every day we send out a free e-mail with the most important headlines of the last 24 hours.

Subscribe now

Keywords: Visa, interchange fee, Brexit, online payments
Categories: Payments & Commerce
Countries: United Kingdom
This article is part of category

Payments & Commerce