September 27, 2005 |
Four merchant groups have filed an antitrust lawsuit against Visa USA, MasterCard Inc. and dozens of major banks, saying they colluded to set excessive credit card fees. The plaintiffs estimate damages "will range in the tens of billions of dollars," according to the 59-page class-action complaint, filed Friday with the U.S. District Court in Brooklyn, N.Y. Bank of America Corp., Citigroup Inc. and JPMorgan Chase & Co., the largest U.S. credit card issuers, are among the more than 40 defendants.
September 1, 2005 |
Credit card company MasterCard Inc. unveiled plans Wednesday for an initial public stock offering to help reshape its business during a time of unprecedented competitive and legal challenges mounted by rivals. The Purchase, N.Y., company is controlled by 1,400 financial institutions that issue MasterCard-branded products. The IPO is expected in next year's first quarter and will transfer a 49% equity stake and voting control into the hands of investors.
July 27, 2005 |
Visa USA and MasterCard International have won dismissal of a lawsuit by California merchants that accused the credit card associations of antitrust violations in setting payment transaction fees. U.S. District Judge Jeffrey White in San Francisco also dismissed claims against Bank of America Corp., Wells Fargo & Co. and U.S. Bancorp, saying the merchants failed to allege a conspiracy to fix fees.
June 19, 2005 |
Goodbye, MBNA. Hello, Providian. If you use a credit card in a foreign country, you may find yourself saying something like that. Two years ago, this column examined the increasing propensity of credit card-issuing banks to tack on a 1% to 2% fee for foreign currency transactions. That fee was in addition to a 1% currency exchange fee that Visa and MasterCard charged. Things have progressed from there, woe to the foreign traveler.
June 7, 2005 |
Washington Mutual Inc. agreed Monday to acquire credit card company Providian Financial Corp. for about $6.4 billion in stock and cash, a move that would give the Seattle-based thrift a potentially high-profit new business line. San Francisco-based Providian offers Visa cards in its own name and in partnership with entities as PayPal Inc. and the Democratic Party, as well as MasterCards in partnership with EBay Inc. Shares of both companies fell on the news, with Washington Mutual dropping $1.
June 22, 2004 |
Customers of Wal-Mart Stores Inc. can use MasterCard Inc.'s signature debit cards to make purchases for the first time since February, when the world's largest retailer suspended their usage in a disagreement over fees charged to merchants. Bentonville, Ark.-based Wal-Mart said in December that MasterCard's fees were too high. The move made Wal-Mart the first major retailer to take such action since a lawsuit settlement freed merchants to pick which credit and debit card services to use.
May 1, 2003 |
Visa USA Inc. reached a tentative $2-billion settlement Wednesday with thousands of retailers, averting a trial over the company's popular debit cards, a source close to the talks said late Wednesday. The terms of the deal, which was not yet signed, are similar to those agreed to Monday between the retailers and MasterCard International, the source said on condition of anonymity. Word of the settlement came after U.S. District Judge John Gleeson in Brooklyn, N.Y.
April 30, 2003 |
MasterCard International will pay U.S. retailers about $1 billion as part of its planned settlement of a lawsuit seeking damages for its debit card policies, a source familiar with the matter said. Under the settlement, MasterCard also agreed to reduce fees it charges retailers accepting its signature-based debit cards. U.S. District Judge John Gleeson on Monday had barred the parties involved from revealing details as the settlement was being finalized.
April 29, 2003 |
MasterCard International Inc. on Monday settled an antitrust suit with Wal-Mart Stores Inc. and other retailers over debit card fees as it was about to go to trial. Settlement terms weren't disclosed. The agreement leaves Foster City, Calif.-based Visa USA Inc., whose market share is twice MasterCard's, the sole defendant.
April 28, 2003 |
Consumers who purchase items with debit cards may not give much thought to whether they sign a receipt or punch a personal identification number on a keypad, but to lawyers set to debate the issue today, the distinction is crucial. The routine debit transaction is the subject of a trial seven years in the making, pitting Wal-Mart Stores Inc. and millions of other retailers against Foster City, Calif.