Congressional Digest

Excerpt

Credit cards have become an everyday convenience of modern life. Even so, few Americans spend much time thinking about the systems in place that allow them to pay for products and services. For businesses that allow customers to make purchases using payment cards, however, the system has a direct effect on their bottom line. With every transaction, they owe a fee to a company that maintains the network, like Visa or MasterCard, and the institution that issues the card. These charges vary, but usually amount to 1 to 3 percent of the total transaction cost price. Some businesses have tried…