Before you swipe...
New credit card fees now taking effect
- Duration 3:23
- Date Jan 28, 2013
New credit card fees now taking effect
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This transcript is automatically generated
Well did you know this -- -- now charging more for using your credit card as much as 4%.
But is this just political payback to show what happens when the -- when -- the over regulators over regulate.
Fox Business -- -- glow in the cold in the early eighties with us you before she has the stock market what a huge weak in this was in when a shot for many people who went shopping.
That's right and so this is this is basically goes all the way back to 2000 I don't wanna start how we came out on this -- talk about how it's gonna affect consumers today when they shop so.
There was the case centered around allegations that the banks.
Along with some of the credit cards like Visa Mastercard.
Actually conspired to unlawfully fakes the swipe fees so the merchants were -- they were paying too much.
And so that's why this class action lawsuit -- its place.
And it was over 77 million US merchants it was a huge payout.
And one of the largest antitrust settlements of our time.
So now we fast forward now you fast hours so you started with the banks the problems the banks and the and the credit card companies with these like these nice fast hour.
So now the merchants will have to pay less.
In their swipe fees so that's one thing good for the merchants.
And at the saints aren't in order to pay for however they're going to pay for those swipe fees because they do -- up over fifty billion dollars to do that.
Is that they now have the right to charge you any maybe not new York and we'll get -- states in a moment.
But basically between one point five and 4% they can tack on.
So that they don't have to -- the swipe -- California right around Connecticut Florida Kansas.
Mean Massachusetts New York Oklahoma Texas for some reason.
They have their opt their opted out of you -- in -- -- you're not gonna faces and if you use American Express or debit card right you're saying right so that's where we're standing right now but in the time.
It really is very -- -- -- the merchants are the center of this now because they're gonna pay less now will they will they actually.
Do this and charge you and if they do sell we have actually some -- to show this but.
You have to obviously no -- rights right.
Put this -- and here you go so know your rights.
They have to demonstrate right there they have to have a sign and say hey I'm charging you 3% for this.
You -- requested discount you can shop elsewhere not only is -- -- to be displayed right there on the counter but it also needs to be on your receipt as well.
So this is what we're facing right now but -- you know it's just the regulators coming in.
Now looking at how this is all very -- this is all -- and it's not really done there's actually some more.
Litigation underweight -- later -- are amazing the people -- with regulations these cookies and they don't think there's going to be -- reaction this is always the reaction we're always getting it -- just.
-- -- Does not feel like we pay so much -- ready.
And now -- -- this on top rate you pay the credit card companies whatever interest you pay state tax day this tax and now that have to pay.
When I go there I mean who wants to Shalit in what is gonna hit the small -- it is in some retailers are gonna make decisions and not to do it because they don't -- -- their customers.
This is Wal-Mart is on board with that they gave us a statement on that as well so we have that but yet they're going to be out there and the mom and -- are the ones that they actually -- to this intensely the surprise here's a statement from -- we're not -- students are charging customers -- to allow credit card companies to continue charging.
Unfair fees many unanswered questions -- you buy online which state are you charged and we'll continue to follow the general -- winning.
Feeling now yet we'll watch your 4000 some punches that I have in the stock market today that got Michael thanks.