Act Now: How Merchants Can File for Exchange Fee Refunds Before the Visa/MasterCard Lawsuit Deadline

If you're a merchant dealing with a maze of transaction fees, now is the time to pay attention. The ongoing lawsuit against Visa and MasterCard presents a rare chance for businesses to get refunds on excessive exchange fees. With the deadline fast approaching on February 4th, 2025, it is essential to act swiftly and wisely. This guide will break down what you need to know to make the most of this opportunity before it’s too late.

Understanding the Visa/MasterCard Lawsuit

A class-action lawsuit was launched against Visa and MasterCard for imposing excessive interchange fees—charges that merchants pay each time a customer uses a credit card for a purchase. Merchants argue that these fees significantly impact their bottom line. In fact, Visa and MasterCard were reported to have earned over $40 billion from interchange fees in 2021 alone. As part of the settlement process, Visa MasterCard allocated $5.56B to an Attorney Trust Fund to refund eligible merchants who were affected by these charges.

This settlement not only offers a potential financial benefit for retailers but also signals a move towards greater fairness in credit card pricing practices. It could reshape the way interchange fees are handled in the future.

Eligibility and Filing Process

To find out if you qualify for a refund, start by checking if your business processes card transactions through Visa or MasterCard during the relevant time frame identified (2004 to 2019) in the lawsuit. This generally includes retail and service-based businesses.

Here are the steps you need to take:

1. Gather Documentation: You’ll need records of your card transactions, including dates, types of transactions, and processing fees. For example, if you processed 5,000 transactions during the affected period, having a well-organized breakdown can strengthen your claim.

2. Visit the Settlement Website: Once you have your documents ready, head to the official settlement website. This allows you to easily start filing. Expect to fill out an online application or possibly mail your submission.

Providing detailed and specific information about your transactions is vital. An accurate claim may include something like: “On March 15, 2022, we processed a Visa transaction totaling $120, incurring a 2.5% processing fee.”

3. As an alternative to the hassles of filing yourself, you can also register with an

authorized 3rd party such as The Flatstone Group, LLC. All you will need to provide is:

Authorized Representative (Owner or Designate), Legal name of the business (and any

DBA's); Address of the business; email; phone number; and EIN# for the entity or

entities. "The Flatstone Group" will take it from there and get your filing done. Once

you are registered with "Flatstone" they, as an authorized 3rd party, will have full access

to all of your transactions during the stated period (2004 to 2019).

Important Dates to Remember

As the filing deadline approaches, there are some key dates to keep in mind. While your claim must be submitted by February 4th, 2025, submitting your application earlier is advisable. Early submissions could be reviewed more quickly, potentially expediting your refund process.

To stay organized, consider these tips:

• Set Reminders: Use calendar alerts to remind you and your team of deadlines.

• Check Notifications: Keep an eye on any communications from the settlement administrators regarding your claim.

Missing the deadline could mean losing out on essential refunds, so stay proactive.

Final Thoughts

The approaching deadline for filing for exchange fee refunds as a result of the Visa/MasterCard lawsuit offers merchants a crucial opportunity to reclaim significant funds. By understanding your eligibility, preparing your documentation thoroughly, and managing timelines effectively, you can navigate this process with confidence.

Don't let procrastination lead to missed opportunities. It is time to take action and secure your business's financial future before the filing window closes on February 4th, 2025. File your claim and make sure you capitalize on this important chance!