What is the Interest Rate on Credit Card Merchant Fees?

Executive Summary

• Private banking interests don’t want anyone to know that charging interest under a government-run banking system is optional.

Introduction

One does not normally think of how high merchant fees are, but this quotation explains it well.

“Issuing credit cards has become a highly concentrated business with the top four card issuers, Citigroup, Bank of America, JP Morgan Chase, and Capital One, accounting for more than 70% of all cards in circulation. Note that this merchant fee is not just 2.7% annually, it’s 2.7% on every transaction on a loan that is for only around 30 days. loans to credit card borrowers who pay on time range from one to 60 days depending upon when in the billing cycle, the bill is issued and paid. But assuming 30 days on average, that is a 33% annual rate of return just for merchant fees. Prices go up for all customers whether or not they use credit cards.” – Banking on the People

Source: Banking on the People

https://www.amazon.com/Banking-People-Democratizing-Money-Digital-ebook/dp/B07R3F6ZX7/