Legislation targeting credit card swipe fees could lower retail prices only a little, experts say
Every time a credit card is tapped or swiped, the issuing bank assesses the merchant a 2% to 3.5% fee that eventually is passed to the consumer.
TL;DR
- Merchants are charged a fee by issuing banks for every credit card transaction.
- These fees range from 2% to 3.5% of the transaction value.
- The cost of these swipe fees is eventually passed on to consumers.