Mastercard fined for high card fees

Bloomberg reports that Mastercard has been fined $648 million for implementing rules that allowed it to increase the costs of card payments.

According to the European Commission, Mastercard blocked retailers from getting cheaper banking rates in EU countries outside of the one in which they were operating.

Mastercard ended this practice in 2015 after the implementation of new credit card laws by the EU.

These laws were introduced two years after the probe into Mastercard’s activities was initiated.

The card company has released a statement stating that the ruling “puts an end to a legacy investigation into historic practices”.

Mastercard said that it has moved away from implementing these rules, meaning they wouldn’t need to change their current business operations.

The company had already set aside $650 million for the fine, which was less than their initial predicted figure of $1.14 billion.

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Mastercard fined for high card fees