Small Businesses Reap Benefits from Mastercard-Visa Settlement: Lower Credit Card Fees for More Efficient Operations

Tulsa Business Believes Visa and Mastercard Settlement Could Provide Relief for Small Businesses

In a recent development, Mastercard and Visa have reached a $30 billion settlement in an anti-trust lawsuit filed against them in 2005. This settlement is expected to result in lower fees for small businesses when customers pay with a credit card. The news is a positive development for small business owners like Ashley Ryan, who owns Stash Apparel and Gifts on Brookside.

Small businesses are required to pay a percentage of each transaction back to credit card companies whenever customers use a card to make a purchase. According to Ryan, most customers prefer paying with a credit card due to the convenience and rewards associated with it. Currently, businesses like hers pay about 3 to 4 percent for each transaction, which can add up significantly over time. The financial strain that credit card fees place on businesses has been a significant challenge for small businesses like Ryan’s, which has had a significant impact on the local community. With expenses already high for small businesses, any opportunity to save money is seen as beneficial.

The approved settlement will impose a cap on the fees businesses pay until 2030, at which point both parties will have the opportunity to renegotiate. This development is expected to provide relief to small businesses like Ryan’s, allowing them to operate more efficiently and competitively in the market. Despite the challenges that come with running a small business, Ryan remains optimistic about the positive changes that lower credit card fees can bring to her business and the community.

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