July 13, 2012 |
Visa Inc.andMasterCard Inc.agreed late Friday to pay retailers $6 billion to settle a price-fixing lawsuit that alleged they overcharged companies billions of dollars in credit-card transaction fees. The agreement is believed to be the largest settlement ever of a private antitrust case, according to lawyers for 7 million American merchants who sued the card companies in 2005. The total value of the agreement is $7.25 billion, counting a temporary reduction in card fees. The deal is a big victory for retailers, which have long chafed at having to pay "swipe" fees of 2% or more every time a consumer uses a credit card to buy anything from a pair of flip-flops to a pickup truck.
September 7, 2002 |
Failed online credit card issuer NextCard Inc. disclosed Friday that federal securities regulators are investigating the company's downfall, which could cost a taxpayer-backed insurance fund as much as $400 million. The San Francisco-based company also said that its chief executive, John Hashman, resigned earlier this week. Hashman oversaw NextCard's rise and fall as the Internet's biggest credit card issuer.
February 3, 2006 |
Retailers that won a $3-billion antitrust settlement from Visa USA and MasterCard International Inc. are questioning a bid by the U.S. government to get a share of the settlement money. In a Feb. 1 letter to the judge overseeing the case, the lead attorney representing the retailers said there was a "serious question" about whether the Justice Department and the U.S. Postal Service, which had filed claims Jan. 27, should be given a piece of the landmark settlement.
July 8, 2003 |
MasterCard International Inc. and Visa International Inc. lost a bid to dismiss a lawsuit accusing them of conspiring to impose hidden fees of as much as $4 billion on cardholders who make purchases overseas. U.S. District Judge William Pauley in New York last week refused to dismiss several antitrust claims in the case. In April, a California judge said the companies must provide refunds for the fees on overseas purchases, a ruling that could cost them $800 million. A lawyer for Purchase, N.Y.
September 12, 2003 |
Visa International Inc. and MasterCard International Inc. can place notices in newspapers and monthly credit card bills telling customers how to claim $800 million in refunds, a California judge said. Judge Ronald Sabraw's tentative ruling in Oakland was a partial victory for Visa and MasterCard, the two largest credit card companies, in a case over refunds for foreign exchange fees collected since 1996.
July 23, 1990 |
Credit Card Firms Win Round: A federal judge handed a victory Monday to Visa and MasterCard by temporarily barring 19 telemarketing defendants from laundering credit card sales drafts or indicating that they are authorized to accept Visa or MasterCard charges. U.S. District Judge Edward Rafeedie in Los Angeles issued the preliminary injunction in a suit by Visa International Service Assn. and MasterCard International Inc.
April 20, 1999 |
MasterCard International Inc. said consumers and businesses spent 8% more on MasterCard credit and debit cards worldwide last year, led by growth in the United States. Purchase, N.Y.-based MasterCard, the world's second-biggest credit card brand behind Visa, said MasterCard cardholders spent $650.2 billion in 1998, or $1.2 million a minute, up from $604.4 billion the year before. Growth in the U.S. was faster as card spending rose 17% to $310.7 billion, increasing MasterCard's share of the U.S.