A small group of Connecticut retailers filed a similar lawsuit last month naming with Visa, also MasterCard and several other large banks. The suit was filed in Connecticut’s federal court. That suit also calls the fees “exorbitant”. Merchants see the rising use of card transactions and the effect it has on their bottom line. The interchange fees are currently 1.75\% from most banks, but on some cards it rose this year to 2.9\%. The National Retail Federation said for 2004 that between Visa and MasterCard, they pulled in $17.4 billion  . Webpronews writer John Smith cites this merchant quote: "The collective setting of interchange fees by Visa and its member banks constitutes horizontal price-fixing that leads to higher retail prices for our customers," said Paul Heldman, Kroger senior vice president and general counsel. "This hidden cost must be borne by all Kroger customers, whether they pay for their groceries with cash, by check or by debit or credit card. At a time when technology has made card authorization and processing faster, cheaper, safer and more efficient than ever, we believe that our customers should be receiving the benefit of declining interchange fees. Instead, Visa is using its extraordinary market power to profit at our customers' expense." 
 Merchants see the rising use of card transactions and the effect it has on their bottom line. The interchange fees are currently 1.75\% from most banks, but on some cards it rose this year to 2.9\%. The National Retail Federation said for 2004 that between Visa and MasterCard, they pulled in $17.4 billion , a surcharge borne by the consumer regardless of whether they pay by cash or plastic . Webpronews writer John Smith cites this merchant quote: "The collective setting of interchange fees by Visa and its member banks constitutes horizontal price-fixing that leads to higher retail prices for our customers," said Paul Heldman, Kroger senior vice president and general counsel. "This hidden cost must be borne by all Kroger customers, whether they pay for their groceries with cash, by check or by debit or credit card. At a time when technology has made card authorization and processing faster, cheaper, safer and more efficient than ever, we believe that our customers should be receiving the benefit of declining interchange fees. Instead, Visa is using its extraordinary market power to profit at our customers' expense." A small group of Connecticut retailers filed a similar lawsuit last month naming along with Visa, MasterCard and several other large banks. The suit was filed in Connecticut’s federal court. That suit also calls the fees “exorbitant”.
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A small group of Connecticut retailers filed a similar lawsuit last month naming with Visa, also MasterCard and several other large banks. The suit was filed in Connecticut’s federal court. That suit also calls the fees “exorbitant”.
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, a surcharge borne by the consumer regardless of whether they pay by cash or plastic
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A small group of Connecticut retailers filed a similar lawsuit last month naming along with Visa, MasterCard and several other large banks. The suit was filed in Connecticut’s federal court. That suit also calls the fees “exorbitant”.