Following the implementation of the European Commission's Multilateral Interchange Fee Regulation in 2015, interchange fees in the European card payments market recorded their highest ever reduction in size and regional scope. This paper reviews the motives and grounds of the regulation in relation to ...
The information from the first data collection assisted the Board in developing Regulation II and was included in a report published in June 2011. The second report, published in March 2013, summarized data for the calendar year 2011. The third report, published in September 2014, summarized ...
The European Commission (the “Commission”) has recently published its study on the application of the Interchange Fee Regulation (Regulation 2015/751 on interchange fees for card-based payment transactions, the “IFR”). The interch
In March wewrotethat the European Commission (the “Commission”) had published its study on the application of the Interchange Fee Regulation (Regulation 2015/751 on interchange fees for card-based payment transactions, the “IFR”). This study was designed to inform the Commis...
effect. Regulation II capped the interchange fee that a debit card issuer may charge or receive at 21 cents per transaction plus 5 basis points times the value of the transaction. The standard applies to issuers with consolidated assets of $10 billion or more (“covered issuers”). A covered...
fee standard and payment card networks to gather information to assist the Board in developing its proposed rule to implement Section 920. [Note:] 2 The Board also surveyed the nine largest merchant acquirers, all of whom responded to the survey and provided ...
The article reports that according to Malcolm Edey, assistant governor of Reserve Bank of Australia, the central bank's Payments System Board wants to pull back from direct regulation of interchange fees on credit cards. He says that the fee should be determined by open-market competition. Howeve...
The article reports that according to Malcolm Edey, assistant governor of Reserve Bank of Australia, the central bank's Payments System Board wants to pull back from direct regulation of interchange fees on credit cards. He says that the fee should be determined by open-market competition. Howeve...
We find that the optimally regulated interchange fee can be above the privately optimal one to induce the platform to invest more in retailer services. We also demonstrate that the two prominent regulatory benchmarks of a zero interchange fee and regulation according to the "tourist test" tend ...
An analysis of the payment-card market suggests several factors to consider, in addition to issuer costs, when setting interchange fees to maximize social welfare.Zhu WangFederal Reserve Bank of RichmondRichmond Fed Economic Brief