Visa and MasterCard Cut Interchange Fees to 1.5% in Canada
This article is for subscribers only.
Visa Inc. and MasterCard Inc. lowered credit-card transaction fees for Canadian merchants by about 10 percent in a move the federal government said should lower consumer prices and may trim revenue for the nation’s banks.
The two payment networks submitted proposals to reduce their average effective interchange rate in Canada to 1.5 percent on consumer credit cards, the finance department said in a statement posted on its website today. The rate will stand for five years and take effect no later than April, it said.