Democrats’ search for culprits and profiteers amid decades-high inflation turned to the credit card industry Wednesday with a hearing on transaction fees charged to merchants.
In response to soaring inflation, Democrats have accused companies of raising prices disproportionately to increase profits amid demand and supply-chain bottlenecks. Visa Inc. and Mastercard Inc. came under fire at a Senate Judiciary Committee hearing for raising the transaction fees charged to merchants accepting their credit cards.
Senate Judiciary Chairman and Majority Whip Richard J. Durbin, D-Ill., said the “interchange fees” face too little competitive pressure and that increases are hitting consumers and businesses when they can least afford it.
