Lawsuits Filed Against MasterCard and Visa - Other News


ADVERTISING DISCLOSURE: is an independent, advertising-supported web site. receives compensation from most credit card issuers whose offers appear on our site. Compensation from our advertising partners impacts how and where their products appear on our site, including, for example, the order in which they may appear within review lists. has not reviewed all available credit card offers in the marketplace.

Credit Card Applications » News » Other » Lawsuits Filed Against MasterCard and Visa

Lawsuits Filed Against MasterCard and Visa

Lawsuits Filed Against MasterCard and Visa
The content is accurate at the time of publication and is subject to change.

Lawsuits have been filed against payment processors Visa and MasterCard for having “unlawful agreements” with banks which result in high ATM fees for consumers. Large retail banks JPMorgan Chase, Wells Fargo, and Bank of America are also included in one of the suits. It is alleged that the aforementioned companies joined forces in a “conspiracy to fix the prices” that consumers must pay, in order to use an out-of-network ATM.

“The ATM restraints prevent ATM operators from offering their customers a discount or benefit for completing a transaction over a network that is less costly to the ATM operator, so consumers cannot be rewarded for using a lower cost and more efficient network,” the most recently-filed suit said, according to The Wall Street Journal.

Independent ATMs are the stand-alone ATM terminals that can be found in places like gas stations, hotel lobbies, and delis. These machines account for roughly half of the estimated 400,000 ATMs that are in service across America. Operators of these independent ATMs are the plaintiffs in one of the suits. So far, suits have been filed in New Jersey, California, and Washington, D.C. None of the suits are seeking specific monetary damages.

“Visa and MasterCard are the ringleaders, organizers, and enforcers of a conspiracy among U.S. banks to fix the price of ATM access fees in order to keep the competition at bay,” said Jonathan Rubin, a managing member of the Washington, D.C.-based Rubin PLLC, according to The antitrust law firm will be providing representation for the plaintiffs in one of the lawsuits. “Were it not for these anticompetitive rules, Visa and MasterCard would face real competition for ATM services, consumers would pay lower prices for using ATMs, and more ATMs would be deployed.”

While Visa and MasterCard are the two big payment processors, there are many smaller networks available for debit card transactions such as Star and NYCE as well as the Discover-owned Pulse.

Visa and MasterCard are being accused of having rules in place so that ATM operators are forced to charge all consumers the same out-of-network fees every time, even in the instances where their particular card is able to access a less expensive network, which in turn prevents independent operators from having the ability to offer discounted fees which would benefit consumers.

According to The Washington Post, MasterCard released a statement via email defending their policies, claiming they were “put in place to protect consumers from ATM operators seeking to impose discriminatory surcharges on our cardholders.”

Disclaimer: This editorial content is not provided or commissioned by the credit card issuer(s). Opinions expressed here are the author's alone, not those of the credit card issuer(s), and have not been reviewed, approved or otherwise endorsed by the credit card issuer(s). Reasonable efforts are made to present accurate information, however all information is presented without warranty. Consult a card's issuing bank for the terms & conditions.
All rates and fees, and other terms and conditions of the products mentioned in this article/post are actual as of the last update date but are subject to change. See the current products' Terms & Conditions on the issuing banks' websites.
Add to Favorites:

Related News:

Some Upgrades Coming for American Express Business Platinum Cardholders

Posted: December 10, 2018

In 2019 people with the Business Platinum Card will be able to take advantage of some upgrades arriving with the new year. These new benefits are designed to boost productivity, as well as give cardholders more perks when traveling for ... Continue reading
New CENTURION Lounges in London and Charlotte

Posted: December 7, 2018

Travelers who pass through Heathrow airport when heading to London and Charlotte Douglas International Airport in North Carolina may well be happy to learn that American Express is opening new Centurion Lounges in both these airports. ... Continue reading
Mastercard Sets up Shop

Posted: December 6, 2018

MasterCard is rolling out their own online store, offering visitors a 3D platform, where they can shop just like they would in a brick and mortar store, using virtual technology. This way they can get the feel of real-time shopping while ... Continue reading
Get the latest news, articles and expert advice delivered to your inbox. It's FREE.
Earn 5% cash back at different places each quarter like gas stations, grocery stores, restaurants, and more up to the quarterly maximum, each time you activate.
For Excellent, Good Credit
INTRO OFFER: Discover will match ALL the Miles you've earned at the end of your first year, automatically. For example, if you earn 30,000 Miles, you get 60,000 Miles. That's $600 towards travel!
For Excellent, Good Credit
Earn 2% cash back on purchases: 1% when you buy plus 1% as you pay
For Excellent, Good Credit
You've successfully subscribed!

Please specify the following:All these fields are optional

Your Credit History
Themes you are interested in:

By providing this information you help us make our news letters more useful and informative. Thank you!