If you’ve ever felt like credit card fees eat into your profits, you’re not alone. The term “Swipeopoly” reveals a growing frustration among business owners tired of paying high fees for every card transaction. But is this a real problem, or just a buzzword? Let’s break down what it all means for your business.
In simple terms, the “Swipeopoly” refers to the control that major credit card companies (like Visa and Mastercard) have over the fees merchants pay to process card payments. These fees, known as interchange fees, are often set behind closed doors and lack transparency. Many business owners feel these fees are unfairly high, squeezing their profits.
Swipe fees add up, cutting into the bottom line of small businesses like yours. Every time you accept a credit card, a percentage of that sale goes to the card companies, not your bank account. These fees can be especially tough for small businesses with thin profit margins.
Example: A neighborhood bookstore that processes a lot of small transactions might pay hundreds of dollars in credit card fees each month. Those fees take away from their ability to buy inventory, pay staff, or reinvest in their business.
The Swipeopoly issue came to a head in a major antitrust lawsuit filed against the credit card giants. Businesses alleged that the way these fees were set was anti-competitive and harmful to small merchants. In 2012, a settlement of nearly $7 billion was reached for U.S. merchants who paid artificially inflated Visa and Mastercard interchange fees between Jan. 1, 2004 and Jan. 25, 2019. The deadline to file a claim was May 31, 2024. [According to the Payment Card Settlement website](paymentcardsettlement.com)
The good news is, the settlement might mean a payout for businesses that were overcharged. However, eligibility rules are complex. Typically, you’ll need to have accepted Visa or Mastercard during a specific time period, and the amount you could receive varies.
While the settlement is a step forward, business owners shouldn’t just rely on lawsuits to fix the Swipeopoly. Here are things you can do:
* **Negotiate:** Ask your payment processor for better rates. * **Educate Customers:** Consider signage explaining why you might prefer cash or have minimums for card payments. * **Pressure Lawmakers:** Contact your representatives and demand fairer regulations around credit card fees.Mitena Partners: How can you help me with the Payment Card Settlement?
Mitena Partners can help you determine if your business is eligible for the settlement and assist you with the claims process. Our team of experts will handle the complex paperwork and ensure you receive the maximum possible payout.
Mitena Partners: What are the benefits of using your services?
There are several benefits to using Mitena Partners for the Payment Card Settlement:
* **Expertise:** Our team has extensive experience with the settlement process * **Convenience:** We handle all the paperwork * **Maximized Reimbursement:** We work to ensure your full entitlement * **No Upfront Fees:** You only pay if we recover money for you.Tired of the Swipeopoly squeezing your business? Mitena Partners can help you understand the settlement and determine if you’re eligible for compensation. For more information on the settlement, visit [Payment Card Settlement Website](paymentcardsettlement.com). Contact us today for a free consultation: [Mitena Partners Link](https://sherwoodmedia.com/snacks/newsletters/7lRM3c04eGZ4ddiogzx4gE/)
Disclaimer: Claim forms are being delivered and are available online beginning December 1, 2023. Class members need not sign up for a third-party service in order to participate in any monetary relief. No-cost assistance is available from the Class Administrator and Class Counsel during the claims-filing period. See more information at the Court-approved website: www.paymentcardsettlement.com
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