Bercy goes on the offensive. The French Ministry of Economy wants the European Commission to establish during the next legislature a framework for the commissions charged to merchants by the two card payment giants, Visa and Mastercard.
France accuses these two American companies of abusing their dominant positions to increase the tariffs they impose on traders. In fact, consumers have been able to benefit from increased competition in recent years. In addition to the cards that banks have always offered, with the CB logo associated with either Visa or Mastercard, other payment cards have emerged.
Rejecting a Visa or Mastercard is like shooting yourself in the foot
The latter are issued by newcomers to the financial sector such as Revolut or N26. They are also Visa or Mastercard cards but without the CB logo. Cards that do not cost more to their holder but generate more commissions for merchants. And if they accept them anyway it is because they really have no other option. Rejecting payments with Visa or Mastercard, unlike American Express cards, is the certainty of losing a large part of your billing.
There are still, of course, merchants and restaurateurs who, when paying the fee, explain to you that their terminal is broken but that an ATM is not far away. However, completely rejecting card payments when running a serious business is still suicide.
Contactless payment has changed the game
According to the latest data from the Banque de France, 62% of financial transactions (excluding cash) were carried out by bank card. And if the latter is now essential, it is largely due to the contactless option, popularized during the Covid crisis. In six out of ten cases when you pay by card it is without having to enter your secret code.
Therefore, the decision is made by the customer and refusing card payment is an exception. Merchants know this very well. And while waiting to obtain a hypothetical European framework, they are already asking for more transparency about these costs. According to a recent survey conducted by YouGov for Satispay, more than two-thirds of them do not have a precise idea of what these payment methods cost them.
Source: BFM TV
