Reported 8 months ago
China is pressuring Visa and Mastercard to lower transaction fees on bank cards in the country to boost spending by foreign tourists. The Payment & Clearing Association of China is proposing reducing fees on foreign card transactions from 2-3% to 1.5%, potentially decreasing costs for foreign visitors while affecting merchants who often pass on fees to customers. Regulators worldwide have been working to curb the fees charged by Visa and Mastercard, with the companies recently reaching a significant settlement in the U.S. to limit credit and debit card fees, though facing potential rejection by a New York judge. Mastercard has acknowledged receiving the proposal and plans to collaborate to reduce costs for local merchants, while Visa and Mastercard have not responded to requests for comments. Both companies have seen over 6% stock value increase this year.
Source: YAHOO