The Ministry of Justice and Public Security reported that, in view of a complaint made by the Brazilian Association of Supermarkets (Abras), the Mastercard Brasil card administrator will be investigated “for a possible increase in the interchange fee charged on the use of credit and debit cards, used for receipts in supermarkets”.
The interchange fee is paid by the company that uses the card to the banks issuing the service, using the credit and debit system.
In a note, the ministry informs that the National Consumer Secretariat (Senacon) sent letters to Mastercard Brasil and the Central Bank informing that it started the investigation of the complaint from supermarkets. Abras informed that the increase in this rate will be passed on to the consumer.
Mastercard told the association that the interchange fee change represents a “search to expand the electronic payments ecosystem, especially in card transactions, in person or virtually.”
The Ministry of Justice adds that Mastercard and another administrator have been the target of class actions, in the United Kingdom, for abusive charging of the interchange fee. “More than 100,000 British companies have already taken legal action questioning the increase in the price of fees, alleging that the two card companies are taking advantage of their dominant position in the market in that country.”
contacted by Brazil AgencyMastercard reported that “an increase in the interchange fee does not necessarily result in an increase in consumer prices”, and that “this is a decision that acquirers [empresas com papel de liquidar as transações financeiras por meio de cartão de crédito e débito] should take in conversation with merchants, who have benefited from investing in security and a better customer experience.”
Mastercard adds that interchange fees are paid by the acquirer to the cardholder’s bank for the services it provides, such as securing the payment, and for playing its role in securing, clearing and settling the transaction. “This is an exchange between these two entities. Mastercard does not earn any income from interchange fees.”
