VISA Delays Increase in Swipe Fees by One Year
On Tuesday, VISA announced it is delaying the date it will increase swipe fees from credit cards by one year to April 2021. VISA also said it would be decreasing swipe fees for in-store purchases at supermarkets starting in July.
The decisions come in response to the detrimental effects that COVID-19 has put on businesses including the fuels marketing industry.
Originally, VISA had decided to delay the swipe fee increases until this July, however, that date has been pushed back to one full year. The virus has forced many people to shelter at home, leading many retail stores to shut down temporarily or permanently.
Recently, U.S. Sen. Dick Durbin (D-IL) and Rep. Peter Welch (D-VT) sent a letter to the CEO of VISA urging the company to refrain from increasing swipe fees. The letter stated, “Now is not the time for further interchange fee increases” and also stated that the companies’ “fee rates are already too high.”