Reclaim Your Portion of the $5.54 Billion Visa/Mastercard Settlement
Did you accept Visa or Mastercard payments?
If your U.S. business accepted Visa or Mastercard credit or debit cards from 1/1/2004 through 1/25/2019, you may be eligible to file a claim to recover your award.
RMS IS NO LONGER ACCEPTING NEW CLIENTS
DEADLINE TO FILE:
February 4, 2025
How to Take Action
How It Works: Filing Your Claim and Our Representation
As a business affected by excessive fees from Visa and Mastercard, you may be eligible for compensation from the Payment Card Interchange Fee and Merchant Discount Antitrust Litigation Rule 23(b)(3) Class Plaintiffs settlement. The claim filing period began in December 2023, and the final submission deadline is February 4, 2025. RMS provides expert guidance to ensure your claim is submitted accurately and promptly, with continuous assistance throughout the entire process.
Our Role in Submitting Your Claim:
Accurate and Timely Submission:
Once we confirm your eligibility, our legal team will manage every aspect of submitting your claim. This includes gathering all required documents, preparing your claim, and ensuring timely submission to the settlement administrator, Epiq Class Action & Claims Solutions, Inc. Claims must be submitted by the February 4, 2025 deadline to ensure your participation in the settlement.
How is the Settlement Amount Determined?
The settlement amount is determined based on the interchange fees your business paid for Visa and Mastercard transactions between January 1, 2004, and January 25, 2019. Your settlement will be a pro-rata share of the total settlement fund.
The Class Administrator will use available transaction data to estimate your interchange fees. If data is not available or incomplete, you may be asked to provide additional financial information, such as transaction volume or total sales. If you disagree with the estimated claim amount, you will have the opportunity to challenge it by submitting supporting documentation.
Comprehensive Follow-up and Status Monitoring:
Claim Status Updates:
After submitting your claim, we will actively monitor its status and keep you updated. If your claim is approved, approved with a lower amount, or flagged as deficient or in conflict, we will handle any necessary follow-ups. We work directly with the settlement administrator to resolve any issues related to your claim.
Handling Deficiencies or Conflicts:
If your claim is marked as deficient or in conflict, our team will communicate with the settlement administrator to correct any errors and provide additional documentation as needed to ensure your claim is processed accurately and fairly.
When Will You Get Paid?
Estimated Payment Timeline: No payments are expected to be made until after the end of the Claims Period on February 4, 2025. Because the pro-rata distribution cannot be determined until all claims are filed, reviewed, and approved by the Court, we do not yet know when payments will be made. Please note that this process can take time, and we kindly ask that you remain patient during this period. We will keep you updated as soon as there is more information regarding the payment timeline.
No Upfront Fees – Contingency-Based Services:
Our services are provided on a contingency basis, meaning there are NO UPFRONT FEES. You will only be charged a fee once the settlement is awarded. The fee is 25% of the recovery amount.
For more information or to begin the claims process, contact our team at support@riskmanagementsolutions.co
RMS No Longer Accepting New Clients
Risk Management Solutions is no longer accepting new clients for the Visa & MasterCard Interchange Fee Settlement. At this time, we are completing final submissions for clients who have previously signed agreements and are finalizing submissions for those currently enrolled with Risk Management Solutions as their chosen representative.
As of now, the court has not determined payment dates for the settlement. They also have not determined the pro rata share for the payment amounts.
We will share any new information with our existing clients as updates become available. For further details or no-cost assistance, please refer to the court-approved website: www.PaymentCardSettlement.com.
Frequently Asked Questions
Who is eligible to make a claim?
Any U.S. business, regardless of size, that accepted Visa or Mastercard credit or debit cards between January 1, 2004, and January 25, 2019 is eligible to file a claim. This includes businesses that are no longer in operation but were active during this period.
What is this lawsuit about?
This lawsuit addresses claims by merchants against Visa, Mastercard, and several member banks, alleging that these entities violated antitrust laws by setting interchange fees and enforcing rules that limited merchants’ ability to steer customers toward cheaper payment methods. These rules included no-surcharge, no-discounting, and honor-all-cards rules, which insulated Visa and Mastercard from competitive pressure to lower fees. Merchants argued that these practices led to excessive interchange fees, negatively impacting their businesses.
What is an interchange fee?
An interchange fee is a fee that merchants pay when a customer makes a purchase using a Visa or Mastercard payment card. Typically ranging from 1% to 2% of the transaction amount, this fee represents the largest portion of the costs merchants incur for accepting payment cards.
What is the current status of the case?
The settlement received final approval on August 8, 2023, following the appeals period. Claim forms were sent to approximately 18 million class members and have been available online since December 1, 2023. The deadline to submit claims is February 4, 2025.
Why is this a class action lawsuit?
This case was pursued as a class action, meaning that it represents all U.S. merchants with similar claims against Visa, Mastercard, and their associated banks. This allows individual merchants to join together in a collective legal action. The court’s approval of the settlement applies to all class members unless they opted out.
Why is there a settlement?
Both sides agreed to a settlement to avoid the costs, risks, and time involved in a trial and any subsequent appeals. After 13 years of litigation, extensive discovery, and numerous depositions, both parties determined that settling the case would be in the best interest of the class members, allowing merchants to receive compensation more quickly.
How much money will be provided in this settlement?
Visa, Mastercard, and several banks have agreed to provide $5.54 billion to merchants who did not exclude themselves from the class. These funds will be used to pay valid claims, settlement administration and notice costs, applicable taxes, attorneys’ fees, and service awards for the class representatives.
How much will I get paid?
The amount paid from the settlement fund will be based on your actual or estimated interchange fees attributable to Visa and Mastercard card transactions (between you and your customers) from January 1, 2004, through January 25, 2019. The amount of money each Authorized Claimant will receive from the settlement fund depends on the money available to pay all claims, the total dollar value of all valid claims filed, the cost of class administration and notice, applicable taxes on the settlement fund and any other related tax expenses, attorneys' fees and expenses, and money awards to the Rule 23(b)(3) Class Plaintiffs for their representation of merchants in MDL 1720, which culminated in the Class Settlement Agreement, all as approved by the Court.
When will I get paid?
No payments are expected to be made until after the claim filing deadline of February 4, 2025. The exact amount of your payment cannot be determined until all claims have been filed, reviewed, and the Court approves the final distribution amounts. Please be patient, as this process can take time.
Who decides the value of my claim?
The Class Administrator uses data from Visa, Mastercard, and other sources to estimate the interchange fees your business paid between January 1, 2004, and January 25, 2019. If sufficient data is not available, or if you dispute the estimated value, you will need to submit additional documentation to support your claim. This information may include transaction volumes, merchant discount fees, and other relevant business details.
What if the Class Administrator doesn’t have my data?
If the Class Administrator does not have sufficient data on your business’s interchange fees, you can still file a claim. You may be required to estimate the interchange fees your business paid during the claim period or provide additional financial documents. If your provided data cannot be validated, the Class Administrator will request further documentation.
Will I need to produce my financial statements?
No, in most cases, your settlement amount will be calculated using data associated with your business’s EIN. If there are any disputes regarding the amount, our legal team will advocate on your behalf to resolve the issue and substantiate your claim.
What happens if my business is no longer in operation?
Businesses that are no longer in operation but accepted Visa or Mastercard cards between 2004 and 2019 are still eligible to file a claim. The closure of your business does not affect your right to compensation.
How will the lawyers and Rule 23(b)(3) Settlement Class Plaintiffs be paid?
Class Counsel was granted an attorney fee equal to 9.31% of the settlement fund, and they will continue to seek compensation for any additional work in administering the settlement and handling appeals. Class Plaintiffs who represented merchants in the lawsuit received service awards ranging from $50,000 to $200,000 for their efforts.
What if I was operating as a sole proprietor under my social security number?
That’s perfectly fine. You may still qualify for the settlement if you processed payments using your social security number as a sole proprietor.
What happens if I have multiple TINs?
Each TIN (Taxpayer Identification Number, EIN for businesses and SSN for sole proprietor) is treated as a separate case. Therefore, if you have multiple TINs, you will need to submit a separate filing for each one. However, if your business operated at multiple addresses but under the same TIN, you only need to submit one filing for that TIN.
Is Risk Management Solutions a law firm?
No. Risk Management Solutions LLC is a firm with access to an extensive network of in-house and external legal counsel. While RMS is not acting as the primary legal counsel, it may consult and collaborate with legal professionals as necessary to assist in handling claims, ensuring all matters related to the settlement are processed accurately and efficiently.
Background on the Settlement
Rule 23(b)(3) Class Plaintiffs' Claim Against Visa and Mastercard
The Rule 23(b)(3) Class Plaintiffs have brought a significant antitrust lawsuit against Visa and Mastercard, alleging anti-competitive practices that led to inflated interchange fees. Interchange fees are the costs merchants pay to card-issuing banks for each credit or debit card transaction. Plaintiffs argue that Visa and Mastercard conspired with banks to fix these fees at artificially high levels, violating antitrust laws and financially harming businesses that accept their cards.
This class action lawsuit covers the period from January 1, 2004, to January 25, 2019. The plaintiffs seek monetary relief for the alleged overcharges, aiming to compensate affected businesses for the inflated costs they were forced to absorb.
On December 13, 2019, the court granted class certification under Rule 23(b)(3), allowing plaintiffs to pursue their claims collectively. This decision recognized that common legal and factual issues related to Visa and Mastercard's conduct predominated over individual issues, making a class action the most efficient way to address the widespread harm.
In December 2023, the claim filing window opened, with notices sent to approximately 18 million class members. This follows a major development on Tuesday when Visa and Mastercard announced a settlement with U.S. merchants, potentially ending nearly two decades of litigation. The settlement involves lowering and capping interchange fees and allowing small businesses to collectively bargain for rates, similar to large merchants. This settlement is valued at close to $30 billion in savings for merchants.
However, industry groups caution that the reduced fees will only last for a limited period—three to five years—after which fees will revert to current levels. Jeff Brabant, vice president of federal government relations at the National Federation of Independent Business, emphasized that while the settlement is a positive step, it does not address the long-term anti-competitive practices. As long as Visa and Mastercard set the interchange rates, small businesses will continue to face high costs.
The settlement stems from a 2005 lawsuit alleging that merchants paid excessive fees to accept Visa and Mastercard credit cards, violating antitrust laws. In 2018, Visa and Mastercard agreed to pay $5.6 billion as part of this long-running suit. The recent settlement includes additional terms that cap fees until 2030 and require negotiations with merchant-buying groups.
For businesses that accepted Visa or Mastercard payments during the specified period, this class action provides an opportunity to seek compensation for the excessive fees paid.