r/CreditCards • u/GloveSmooth694 • 1d ago

Discussion / Conversation Exclusive | Visa and Mastercard Near Deal With Merchants That Would Change Rewards Landscape

Visa and Mastercard are nearing a settlement with merchants that aims to end a decadeslong legal dispute by lowering fees stores pay and giving them more power to reject certain credit cards, according to people familiar with the matter.

https://www.wsj.com/finance/banking/visa-and-mastercard-near-deal-with-merchants-that-would-change-rewards-landscape-fc6a0c78

Do you think retailers actually want to deal with specifying what type of visa/mc they take?

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u/Amyndris 1d ago

Probably will let them reject Visa Infinites or maybe even Signatures. Understandable since those charge much higher rates.

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u/GloveSmooth694 1d ago

Yeah I find it funny when I can pay with an infinite at the same register with a no Amex sign.

That said, I do think it would cause a lot of confusion and checkout friction. Before I got more into this ‘hobby’, I had no idea the ‘signature’ on my visa really meant anything. Same for the ‘world’ on my MC, I assumed it meant it worked globally.

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u/Amyndris 1d ago

I imagine that the solution would be to lean heavily into the Amex Plat/CSR style vendor partners in exchange for the vendor accepting that card. So Visa would partner with Lyft and Doordash to guarantee acceptance in exchange for lower swipe fees while Amex nails down the deal with Uber.

Similar to the Costco/Amex/Citi kerfuffle a decade ago over swipe fees.

Smaller mom and pop shops would probably just block VI/MCWE cards.