Re:Financial innovations brought by technology
by clusterfish on Friday October 29, 2021 @05:08PM
(#29043580)
True, in the US. In quite a few countries most people use national debit cards with transaction processing fees in the 1 cent range, and in EU credit card interchange fees are capped by law to something like 0.3%. such low fees also eliminate anticompetitive credit card cashback offers which are so common in the US.
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Re:Financial innovations brought by technology
by vineyardmike on Friday October 29, 2021 @08:46PM
(#29045048)
> also eliminate anticompetitive credit card cashback offers
I've heard a lot about why they're bad but not that they're anti-competitive. In what ways are they?
Re:Financial innovations brought by technology
by clusterfish on Saturday October 30, 2021 @05:54PM
(#29052595)
It's basically a bribe for customers to use credit cards, forcing businesses to pay huge transaction fees. So the businesses have to raise their prices to cover those fees, which acts like a tax on both the business and consumers, especially those using alternative payment methods. And even the people using cashback credit cards don't win anything, they get their 1% back from 3% higher prices.