|Publisher||European Commission: DG Competition|
|Series Details||Case AT.40049|
Antitrust investigation conducted by the European Commission on Mastercard's cross-border rules and inter-regional interchange fees.
The investigation was launched by the European Commission in April 2013 following concerns that some of Mastercard's inter-bank fees and related practices could be hindering competition in the European Economic Area (EEA). The company's rules obliged acquiring banks to apply the interchange fees of the country where the retailer was located at a time when interchange fees varied considerably from one country to another in the EEA. As a result, retailers in high-interchange fee countries could not benefit from lower interchange fees offered by an acquiring bank located in another Member State.
The infringement ended when Mastecard amended its rules in view of the entry into force of the Interchange Fee Regulation. In July 2015, the Commission issued a Statement of Objections on the basis of a preliminary view that the rules prevented retailers from benefitting from lower fees and restricted competition between banks cross border. As a result, the Commission decided to impose a fine on Mastercard. The company acknowledged the facts and the infringements of EU competition rules, which led to a 10% fine reduction in return.
|Subject Categories||Business and Industry, Internal Markets|
|Subject Tags||Competition Law | Policy, Financial Services|
|Keywords||Antitrust | Cartels | Dominant Position | Market Abuse
|International Organisations||European Union [EU]|