Everything Everywhere All At Once

… seems to be getting more expensive. The latest to join the price-hike train? Visa and Mastercard, who are set to increase the swipe fees they charge merchants before the month ends.

• Some context: The change in fees were set to go into effect two years ago but were delayed twice over retailers’ outcry.

🤔💳 Why it’s a big deal: Whenever you swipe/insert/tap to pay, your credit card company receives a cut of that transaction in processing fees. The country’s largest retail association, the NRF, estimates credit cards currently cost the average American family $700/year.

Swipe fees are most vendors’ second-highest operating cost after labor, Quartz reports. Which leaves many small business owners facing a choice: absorb a hit to profits (many with already slim margins) or raise prices for consumers – and most opt for the latter.

• Visa holds a 60% share of the credit and debit card market, followed by Mastercard with 30%.

📈🏷 Zoom out: A recent national survey found that 47% of US small businesses are planning to raise prices by 4%+ and 40% are planning to raise prices by 10%+. 86% of businesses have already raised prices because of inflation.