Close X
Monday, September 23, 2024
ADVT 
National

Visa, Mastercard agree to cut fees they charge merchants who accept credit cards

Darpan News Desk The Canadian Press, 04 Nov, 2014 10:25 AM

    OTTAWA — The federal government has announced a voluntary agreement by Visa and Mastercard to reduce merchant credit card fees to an average effective rate of 1.5 per cent for the next five years.

    Finance Minister Joe Oliver says the reduction amounts to a 10 per cent rate cut, and that it should result in lower prices for consumers.

    Some critics, however, have questioned that prediction.

    Compliance with the agreements, which are expected to take effect by next April, is to be verified by an independent third party.

    American Express did not submit a proposal to reduce rates as it uses a different business model than Visa and Mastercard.

    The Canadian Federation of Independent Business says while the cuts are not massive, small merchants will be happy that they will see a reduction after years of spiking credit card swipe fees.

    Visa and Mastercard have committed to cutting what are known as interchange fees, which are charged to merchants when a customer uses a credit card to make a purchase.

    Businesses had complained the fees were continually rising, especially when their customers use so-called premium credit cards that offer reward points to cardholders.

    MORE National ARTICLES

    NDP Proposes $15-a-day Child Care, With Million New Spaces, Long-term Financing

    NDP Proposes $15-a-day Child Care, With Million New Spaces, Long-term Financing
    OTTAWA - An NDP government would spend $5 billion a year to create a million daycare spaces that parents could access for no more than $15 a day, Tom Mulcair promised Tuesday.

    NDP Proposes $15-a-day Child Care, With Million New Spaces, Long-term Financing

    Cases Of Metal Found In Potatoes Rises To Five In Atlantic Canada: RCMP

    Cases Of Metal Found In Potatoes Rises To Five In Atlantic Canada: RCMP
    SUMMERSIDE, P.E.I. - Police in Prince Edward Island say they have received three more reports of potatoes containing metal objects in them, bringing the total number of such cases to five over the last week.

    Cases Of Metal Found In Potatoes Rises To Five In Atlantic Canada: RCMP

    Vancouver Police To Wear Body Cameras For Disbanding Of Homeless Camp

    Vancouver Police To Wear Body Cameras For Disbanding Of Homeless Camp
    VANCOUVER - Vancouver's police force says some of its officers will be wearing video cameras during the  dismantling of a homeless camp that is facing a court-ordered eviction.

    Vancouver Police To Wear Body Cameras For Disbanding Of Homeless Camp

    Quebec wants energy surpluses to be used to cut industrial rates

    Quebec wants energy surpluses to be used to cut industrial rates
    MONTREAL - The Quebec government wants to use its energy surpluses to offer a discount on industrial electricity rates, but appears to have closed the door on giving residential clients a break.

    Quebec wants energy surpluses to be used to cut industrial rates

    DND to review policy forcing wounded out of military before collecting pension

    DND to review policy forcing wounded out of military before collecting pension
    OTTAWA - Almost a year after facing a barrage of bad publicity, National Defence is having another look at a policy that ended the careers of gravely injured soldiers who wanted to remain in uniform.

    DND to review policy forcing wounded out of military before collecting pension

    Eight Dead Following Separate Crashes During Thanksgiving Long Weekend in B.C.

    Eight Dead Following Separate Crashes During Thanksgiving Long Weekend in B.C.
    VANCOUVER - It has been a deadly Thanksgiving long weekend on British Columbia's roads, with eight people dying from separate crashes across the province.

    Eight Dead Following Separate Crashes During Thanksgiving Long Weekend in B.C.