The credit card duopoly is another instance where the EU has done a good job with regulation, but everyone just takes it for granted until they’re reminded how much worse the rest of the world has it.
In the EU, card payment fees are capped at 0.2% for debit cards and 0.3% for credit cards. In the US, these interchange fees are about 2%.
US businesses pay over $100 billion annually in these fees to card networks. If the fees were capped like in the EU, 85% of that money would stay with the businesses rather than feed the duopoly.
In the EU, card payment fees are capped at 0.2% for debit cards and 0.3% for credit cards. In the US, these interchange fees are about 2%.
US businesses pay over $100 billion annually in these fees to card networks. If the fees were capped like in the EU, 85% of that money would stay with the businesses rather than feed the duopoly.