Visa, Mastercard Mull Increasing Fees for Processing Transactions

Discussion in 'HardForum Tech News' started by Megalith, Feb 16, 2019.

  1. dvsman

    dvsman 2[H]4U

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    Or - dare I say - ... crypto?
     
  2. Space_Ranger

    Space_Ranger Gawd

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    Well crap.. Better start stockpiling my bottle caps..
     
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  3. Staples

    Staples [H]ardness Supreme

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    The Obama admin capped what could be charged through debit transactions to 35 cents if I remember correctly. Wonder if that has been rolled back since. I think they can charge whatever they want through credit transactions. AMEX charges a fortune and that is why they are not accepted in many places.
     
  4. Staples

    Staples [H]ardness Supreme

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    Apple pay just makes you VISA card digital. It still is 100% like a VISA card transaction. I'll assume Samsung and Google are the same as well.
    More stores may issue their own credit cards because transactions are free or very very cheap.
     
  5. aaronspink

    aaronspink [H]ard|Gawd

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    Unlikely. Payment networks are actually pretty difficult from a financial and technical standpoint. There is a reason that Apple Pay et al are just layers into the standard MC/Visa network.
     
  6. Tsumi

    Tsumi [H]ardForum Junkie

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    Chip tech without a pin requirement or something similar does nothing to drive down fraud.
     
  7. naib

    naib [H]ard|Gawd

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    who said anything about without pin?
     
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  8. dvsman

    dvsman 2[H]4U

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    Ah too bad. Didn't know that. Well if anyone is big enough to do something - it's going to be one of the big ecommerce / social giants.

    China pulls it off with Alipay and I think their social network is a big player in epayments as well. No Visa or Mastercard or Amex at all.
     
  9. Tsumi

    Tsumi [H]ardForum Junkie

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    No pins are required in the US for credit cards. Only a signature.

    US banks are trying to go in the same direction with Zelle I believe.
     
  10. naib

    naib [H]ard|Gawd

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    Chip and pin is called Chip and pin for a reason because it requires a chip and a pin. IF you have a card with a chip but still use signature, how do you expect fraud to change?
     
  11. Tsumi

    Tsumi [H]ardForum Junkie

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    Ask Visa and Mastercard. And by extension, American Express and Discover. No pins are required for any credit card purchase in the US.
     
  12. Mozgus

    Mozgus n00b

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    I know you guys usually shit on crypto here, but uh....this is why you guys need crypto.
     
  13. MMitch

    MMitch Gawd

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    Pretty much all the cards we get now have paypass on them activated by default. You do need to use chip and pin for >100$ but under that a simple tap of the card on the reader much like you would do with your phone is sufficient.
    Reminds me I need to get a RFID shielded wallet lol.
     
  14. NWRMidnight

    NWRMidnight Limp Gawd

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    Many stores don't take AmEx is because it is the most expensive card to take for the merchant. It's fees are 75% higher than Visa and MC, Discover is almost right up there with AmEx.. so, no, it won't give them any incentive to accept AmEx.. unless Visa/MC plans on almost doubling their fees.
     
  15. Uvaman2

    Uvaman2 2[H]4U

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  16. Tsumi

    Tsumi [H]ardForum Junkie

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    Have not heard of this, and haven't been asked to set pins on any of my credit cards.
     
  17. MMitch

    MMitch Gawd

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    I'm from Quebec province in Canada, maybe I should of made that precision. I like the system we have here but chip and pin doesn't remove all risk. I've had my card cloned 2 times so far and as mentioned paypass is risky but CC company are pushing it onto us.
    NFC transaction are interesting and almost accepted everywhere here now but I'm not super comfortable using my phone for every purchase mainly because I might drop it when I'm in a rush / in the winter / simply drunk lol.
    Edit: Paypass is even on debit card now.
     
  18. Uvaman2

    Uvaman2 2[H]4U

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    But they do have one I think... Thing is you forget it ever existed.
     
  19. Nobu

    Nobu 2[H]4U

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    I think any with rfid require a pin be set, but it's still optional on chip only cards.
     
  20. HockeyJon

    HockeyJon [H]ard|Gawd

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    So use cash and debit?

    Also, how exactly is this collusion? Unless they're meeting together and drafting a plan to raise by a certain amount, you're going to have a hard time proving collusion.
     
  21. HockeyJon

    HockeyJon [H]ard|Gawd

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    A lot of merchants give rebates for cash use or just don't accept the credit cards.
     
  22. Gavv

    Gavv [H]ardForum Junkie

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    The justification is everyone will pay it and they make money.

    What do you believe good justification is?

    Prices of goods and services go up. There’s your good justification.
     
  23. pututu

    pututu [H]ard DCOTM x2

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    We need price transparency! Off-topic: health care cost is the worst when compare to this.
     
  24. Nenu

    Nenu [H]ardened

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    If prices go up they get more money without any % increase.
    Their ass is already covered.
     
  25. Gavv

    Gavv [H]ardForum Junkie

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    And if they can charge more for the heir good and service because they know people will pay it.

    I’m sure they filed their paperwork at the feelings and good justification department
     
  26. NickJames

    NickJames [H]ardness Supreme

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    I see so their plan was for paper money to be phased out then hit'em with the increased fees.
     
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  27. Gavv

    Gavv [H]ardForum Junkie

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    When you control the market.

    The funny part is many a store clerk/cashier can’t count back change. Re education would cost more for them.
     
  28. Nenu

    Nenu [H]ardened

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    And that is my point, they are a monopoly.
    Their action will have a direct negative impact on the economy without good reason.
     
  29. Gavv

    Gavv [H]ardForum Junkie

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    Lol so does your tv provider when they raise the rates. I’d encourage you prove your claim.
     
  30. Nenu

    Nenu [H]ardened

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    Great equivalence ;)
     
  31. Kdawg

    Kdawg Gawd

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    So, how do they even justify taking 3% of everything?

    $2.85 billion profits, just for being the middleman.
     
  32. Tsumi

    Tsumi [H]ardForum Junkie

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    Their justification is that is the value of their service.
     
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  33. TonyZ

    TonyZ Limp Gawd

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    Do you use a debit card?
     
  34. TonyZ

    TonyZ Limp Gawd

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    Crypto currency is a scam and just needs to die. Nothing of value was done to create the worth.
     
  35. Fresch

    Fresch n00b

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    The point is even if you use cash you pay the extra unless it has a cash discount.
     
  36. PCMusicGuy

    PCMusicGuy [H]ard|Gawd

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    The whole thing is stupid. We should just go back to a cash society. Cards should make things quicker and easier but now the opposite is true. Swipe/insert here, punch in pin or sign, answer some dumb ass confirm/cash back question, etc. The whole process sucks. Some chip readers take 2 seconds and others take 15, not to mention the chip reader is always at the bottom in the least accessible spot. Increased fees I hope will drive to reduced profits for them as more people will go to cash.
     
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  37. Spartacus09

    Spartacus09 Gawd

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    Its gotta be businesses not people that decide to do this, most people won't see it directly. The information that gets out there will be the business is raising prices on products, not that because CC transactions cost more they had to raise prices.
    CCs are just to convenient now to just give up especially at the large retailer level IMO, fewer and fewer folks want to use a debit card or carry that much cash for a large purchase.
    Even those store cards you use to get a discount or points are generally backed by one of the big CC companies.
     
  38. sleepeeg3

    sleepeeg3 [H]ardness Supreme

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    Vote with your wallet? Use cash?

    People like to bitch and moan about credit cards, but I don't see alot of people using cash nowadays.

    I generally use cash for small purchases, because merchants pay a per transaction fee, which makes up a larger percentage of the total cost on smaller purchases.

    I end up using CC's for everything else, even though I know I am screwing myself by causing merchants to raise their prices, for two reasons:
    1. I get cash back.
    2. I'm caught in a prisoner's dilemma where even if I use all cash, it's not going to change everyone else's habits. Might as well get something for it.
     
    Last edited: Feb 18, 2019
  39. Nenu

    Nenu [H]ardened

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    You missed the point, this isnt about you or I.
     
  40. Youn

    Youn [H]ardness Supreme

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    I'm still butthurt that "Visa, Mastercard" = "Visa and Mastercard" and it took me many years to realize this strange norm... I hope people don't start talking this "Yea I'm going out with Becky, Linda"... "which one? oh, you mean you think my name is Linda? or... wth I dunno, go away"