Ballooning credit card “swipe fees” have been detrimental to small businesses across Pennsylvania. In 2022, swipe fees cost businesses almost $130 billion — 20% more than the year prior. And with Visa and Mastercard planning to increase fees by an additional $502 million this fall, it could be the final nail in the coffin for countless small businesses.
Visa and Mastercard are leveraging their market duopoly to increase swipe fees at an alarming rate.
Fortunately, lawmakers in Washington are pushing legislation that could be a game-changer for small businesses. Called the Credit Card Competition Act, the bill would foster competition within the payments arena — providing more options for how a business can process transactions.
If passed, the legislation is expected to save businesses and consumers up to $15 billion per year. For small businesses like ours, this change can’t come soon enough.
I strongly urge Pennsylvania’s elected leaders in Congress to get behind the free-market credit card reform effort.
Colin Dornish
South Side