Skip to content
Catholic Online Logo

By Catholic Online (NEWS CONSORTIUM)

10/15/2012 (2 years ago)

Catholic Online (www.catholic.org)

Analysts say retailers want to see Congress get involved.

Visa and MasterCard have worked out a settlement with several retailers over swipe fees charged to retailers when customers use credit cards. However, the settlement may be rejected by the judge since a majority of the retailers in the suit are opposed to it. 

Credit card companies are crying foul over the rejection of the proposed settlement.

Credit card companies are crying foul over the rejection of the proposed settlement.

Highlights

By Catholic Online (NEWS CONSORTIUM)

Catholic Online (www.catholic.org)

10/15/2012 (2 years ago)

Published in Business & Economics

Keywords: Retailers, credit cards, fees, swipe fees, interchange fees


LOS ANGELES, CA (Catholic Online) - Some retailers are saying they'd rather have no deal at all. The anti-trust class-action suit was filed against credit card companies and banks as a result of allegations that they worked together to inflate swipe fees and interchange fees. These profits came to billions of dollars each year.
Lawyers for both sides worked out a settlement that would see the banks and credit card companies paying back to merchants some $6 billion while making temporary fee reductions. The deal would also allow merchants to charge customers more for using certain cards. 

However, several merchants are objecting to the deal, including Wal-Mart, Target, and Starbucks, as well as several other restraints and retailers. Several of these retailers are not part of the suit, but are sending in their lawyers to fight the deal because they too would be bound by the details of the settlement. 

Analysts say this is an unusual show of force against a proposed settlement, particularly one worth so much money. 

Credit card companies and banks say there's no way retailers can get a better deal. Unhappy retailers have replaced several of their attorneys. 

However, retailers want more transparency into how the fees are set, and several would rather see Congress take up the issue. Attorneys for the credit card companies accuse some retailers of wanting to stalemate the settlement so Congress will act. 

Now, US District Judge John Gleeson, a very experienced justice, will decide if the settlement should be approved or rejected. Typically, judges approve settlements, reluctant to upset the delicate agreements worked out between the parties themselves. 

Even if Gleeson intends to approve the deal, the process is expected to last well into 2013. If he rejects it, it will stretch out much longer as both sides must essentially start over. 

In any case, the controversy over fees will continue for some time to come, and at the end of the day, it will be consumers who pay.


---


Pope Francis: end world hunger through 'Prayer and Action'


Copywriter 2015 - Distributed by THE NEWS CONSORTIUM

Pope Francis Prayer Intentions for March 2015
Universal:
Scientists: That those involved in scientific research may serve the well-being of the whole human person.
Evangelization: Contribution of women: That the unique contribution of women to the life of the Church may be recognized always.



Comments


More Business & Economics

SHINY, RED APPLE: Computer giant is now twice as big as world's second largest firm, ExxonMobil Watch

Image of Strong sales of the larger-screened iPhones resulted in the largest quarterly profit reported by a company, with device sales rising 29.5 percent in the final three months of 2014 to $74.6 billion,

By Catholic Online (NEWS CONSORTIUM)

How big is Apple? The creator of the iPhone and tablets is SO BIG that it is now currently twice as big as its second-closest rival, ExxonMobil. This is being reflected in the stock market, where shares in Apple jumped 2.7 percent at the start of the week to ... continue reading


WHERE IS YOUR MONEY GOING? Government collects $1 trillion from taxpayers - and there's still a deficit! Watch

Image of Where is all of our hard-earned money going?

By Catholic Online (NEWS CONSORTIUM)

Where is all of our hard-earned money going? Real federal tax revenues for the first time ever topped $1 trillion in the first four months of the fiscal year, October through January, according to data released Wednesday by the U.S. Treasury. LOS ANGELES, CA ... continue reading


80 MILLION Americans have their privacy invaded in Anthem data breach Watch

Image of An internal investigation, days later verified that the company was a victim of a cyber-attack, the company said, and federal authorities were alerted.

By Catholic Online (NEWS CONSORTIUM)

Insurance giant Anthem suffered a massive security breach when hackers broached computer safeguards and mad a wild data grab. Up to 80 million Americans have had their privacy effectively invaded, although authorities say more sensitive information was not ... continue reading


Electronic giant RadioShack files for bankruptcy - but will keep some stores open Watch

Image of The Chapter 11 filing, made in federal bankruptcy court in Delaware, surprised few. RadioShack had not turned a profit since 2011.

By Catholic Online (NEWS CONSORTIUM)

RadioShack, an iconic, 94-year-old electronics chain has filed for bankruptcy protection. The company has decided to sell up to 2,400 of its stores to the wireless service provider Sprint and a hedge fund that is its biggest shareholder. LOS ANGELES, CA ... continue reading


Is your bank account suffering? Here are 5 INCREDIBLY EASY TIPS on how to save money! Watch

Image of

By Abigail James (NEWS CONSORTIUM)

Saving money is not a simple task. It is hard to resist eating out or buying the hottest new music. How can your savings account grow when spending money is so easy in today's world? LOS ANGELES, CA (Catholic Online) - Whether you're planning on moving or looking to ... continue reading


Game over: Saudi Arabia threatens to increase oil production to dangerously drive America out of the oil market Watch

Image of America's rising oil production has threatened Opec's control of the global oil market, but Saudi Arabia may be striking back, upping its own production in order to drive costs beyond the ability of American oil corporations to compete.

By Matt Waterson (NEWS CONSORTIUM)

Despite the continuing decline of the price of oil, Saudi Arabia has actually increased its oil production in an attempt to gain a victory in the oil war against shale drillers in the United States. LOS ANGELES, CA (Catholic Online) - The Middle Eastern oil ... continue reading


Talk about a killer app! Apple posts largest profit in history of mankind Watch

Image of The iPhone 6, which has helped Apple post the record largest profit ever made by a corporation.

By Matt Waterson (NEWS CONSORTIUM)

Apple has sold 74.5 million iPhones in just the last three months, helping the tech giant's profits soar to $18 billion, up more than 37 percent. LOS ANGELES, CA (Catholic Online) - This is the largest profit ever made by a corporation, edging out the $16.2 billion ... continue reading


ECONOMIC EARTHQUAKE: IBM rumored to lay off 110,000 employees - biggest cull in business history Watch

Image of First reported on the Forbes Web site, IBM scoffed at the news. Representatives said that the reported scale of the job cuts

By Catholic Online (NEWS CONSORTIUM)

There are alarming indications that the largest corporate layoff in history may be near. There are rumors afoot that computer IBM plans to lay off 110,000 employees shortly. As their entire worldwide workforce is estimated at 430,000, this represents a quarter ... continue reading


Living on less than $2 dollars a day: Only 5 percent of global wealth belongs to the poorest 80 percent of the world Watch

Image of Millions of people around the world are living off of less than two dollars a day.

By Abigail James (NEWS CONSORTIUM)

The staggering increasing inequality among the wealthy and poor around the world continues to be a pressing issue. Eighty rich billionaires have as much money as 3.5 billion of the poorest people. LOS ANGELES, CA (Catholic Online) - The wealthy are occuring their ... continue reading


An amazing 2,500 of the world's most prestigious people canvas Davos, Switzerland for this year's World Economic Forum Watch

Image of

By Abigail James (NEWS CONSORTIUM)

Around 1,700 private jets will cover the sky, as the most elite people of the world descend on the annual World Economic Forum in Davos, Switzerland. Throughout the next week, world leaders, wealthy businessmen and even influential pop stars will come together to speak ... continue reading


All Business & Economics News

Newsletters

Newsletter Sign Up icon

Stay up to date with the latest news, information, and special offers

Daily Readings

Reading 1, Psalms 116:10, 15, 16-17, 18-19
4 I pleaded with Yahweh my God and made this ... Read More

Psalm, Psalms 116:10, 15, 16-17, 18-19
15 Costly in Yahweh's sight is the death of his ... Read More

Gospel, Mark 9:2-10
2 Six days later, Jesus took with him Peter and James ... Read More

Reading 2, Romans 8:31-34
31 After saying this, what can we add? If God is for ... Read More

Saint of the Day

Saint of the Day for March 1st, 2015 Image

St. David
March 1: According to tradition, St. David was the son of King Sant of ... Read More

Inform, Inspire & Ignite Logo

Find Catholic Online on Facebook and get updates right in your live feed.

Become a fan of Catholic Online on Facebook


Follow Catholic Online on Twitter and get News and Product updates.

Follow us on Twitter