As financial industry faces stiff scrutiny, Visa put on defense for vast payments network

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Visa أخبار

Antitrust,Department Of Justice,Payments Network

Visa is facing an antitrust lawsuit from the DOJ targeting its vast card network that is utilized in trillions of dollars’ worth of transactions.

An Apple credit card is shown with a Visa debit card in a photo taken in New York on Tuesday, Sept. 24, 2024. that is utilized in trillions of dollars’ worth of transactions every year in a growing collection of Biden administration to crack down on big companies and spur competition.

According to the lawsuit, Visa’s vast market share allows them to charge fees that they wouldn’t otherwise be able to get, and the company has either bullied or financially incentivized merchants and banks to use its payments system for most transactions. While the DOJ and administration argue that Visa’s dominance of the marketplace is hurting consumers through higher prices, it’s unclear how much money the average American would save if the company was forced to sell off parts of its holding or stop the alleged anticompetitive practices that have kept smaller startups from competing.

The deal fell through two months later but that has not stopped antitrust scrutiny over the banking and credit card industries, particularly from the Biden administration. Dominance in the banking, credit card and finance industries has been a hotly debated issue since the 2008 financial crisis, and one that was renewed after the government had to backstop account balances in the bank failures.

 

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DOJ sues Visa over debit card market monopolyThe Justice Department filed a lawsuit against Visa on Tuesday, alleging the financial services giant used its clout to maintain a monopoly over the U.S. debit card market.
مصدر: FoxBusiness - 🏆 458. / 53 اقرأ أكثر »