The Credit Card Competition Act will help support a stronger, more competitive free market ...Middle East

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The Credit Card Competition Act will help support a stronger, more competitive free market
If you’ve ever wondered why a local small business has a piece of cardboard taped to the register that says, “no credit cards under $10,” the reason is what’s called a “swipe fee.” For every credit card transaction, the merchant pays 2–3 percent to the network like Visa or Mastercard that handles the processing. That may not sound like much, but these fees add up to over $137 billion yearly—the single biggest cost for retailers after wages. Visa and Mastercard dominate this market, comprising a duopoly that can name their price. Merchants from bodega owners to dry cleaners must pay up or lose sales, and either take the hit or pass the cost on to consumers through higher prices. Othe

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