MasterCard Canada will increase its transaction fees for small merchants in the summer of 2013. It will increase its ‘assessment fee’ from 6.4 to 7.7 basis points ‒- a 20 per cent increase on July 1.
"CFIB is very disappointed that MasterCard is choosing to increase its fees at a time when small firms are struggling with an uncertain economy," says Dan Kelly, Canadian Federation of Independent Business president and CEO. "While MasterCard is raising fees by a smaller amount than Visa, it is particularly surprising that both major card brands are increasing their fees just before Canada's Competition Tribunal is expected to rule on its case against the two card giants."
A decision from the Competition Tribunal could allow merchants to add surcharges for accepting credit cards or allow merchants to refuse to accept certain higher cost cards.