The short answer
A federal court in Brooklyn has set a final approval hearing for November 16, 2026 on the revised Visa and Mastercard merchant settlement. Even if the judge approves it, objectors can appeal, and the changes it describes would not take effect until approval is final and any appeals are resolved. If it does become final, merchants could surcharge or decline some premium and commercial credit cards, with a surcharge cap of 3%, and credit interchange would come down for a set period. Today's card network rules and your state's surcharge law still apply, so do not change your pricing on the strength of a hearing date. Use the time to learn your card mix and your pricing model.
What the hearing decides
Judge Brian Cogan of the Eastern District of New York granted the revised settlement preliminary approval on June 9, 2026. Preliminary approval means the court found the deal worth sending to the class of merchants for comment. The final approval hearing is the step where the judge hears objections and decides whether the settlement is fair, reasonable and adequate. In October 2026, Visa and Mastercard filed papers asking the court to approve it. Walmart, the National Retail Federation and the Retail Industry Leaders Association are among the objectors, and the National Association of Convenience Stores has said it would appeal if the settlement is approved. The judge may rule at the hearing or later in writing.
Why approval would not mean 'in effect'
A class settlement becomes final only after the time to appeal has run out, or after any appeals are decided. Appeals in large class cases can take months or longer. Until then, the changes described in the settlement are proposals, not rules. Watch for three moments: the ruling on final approval, the end of the appeal window, and the card networks publishing updated rules with an effective date. Only the last one tells you what your terminal may actually do and from when.
Background: Visa and Mastercard settlement: what may change
What would change if it becomes final
As reported by Payments Dive, the settlement would cut credit card interchange by 10 basis points, or 0.10 percentage points, for five years, and set a 1.25% rate for standard consumer credit cards for eight years. It would let merchants decline some premium and commercial Visa and Mastercard credit cards while still accepting others, and let them surcharge those cards, up to 3%, by card brand or by card type. Debit and prepaid cards still could not be surcharged under network rules. The settlement does not set your processor's markup or monthly fees, and American Express is not a party to it.
Related: Surcharging premium cards under the settlement
What to do before any ruling
Do not reprice or add a new fee because of a headline. Instead, prepare so you can act quickly once something is final. 1. Find your pricing model on your statement: interchange-plus, flat rate or tiered. On a flat or tiered rate, a lower interchange rate may never show up unless you ask. 2. Work out your effective rate: total processing fees for a month divided by total card sales. 3. Ask your processor for your card mix, especially the share of premium rewards and commercial cards. 4. Check your state's surcharge rules, which keep applying no matter how the case ends. 5. Ask your processor in writing how it will pass any interchange change on to you, and when.
Check your rules and costs: Credit card surcharge laws by state · Free Statement Analysis
What changes for multi-location and enterprise merchants
For a single store, preparing means knowing your pricing model and card mix. For a business with many locations, websites or merchant IDs, it is a project. A card-type surcharge or acceptance policy only works if every terminal, online checkout and invoicing tool can identify premium and commercial cards and apply the same rule, and if signs and receipts are right in every state where you sell. Ask your processors for interchange reported by card type, location and channel now, so you have a baseline to measure against. Review your contracts for how interchange changes are passed through and with how much notice. Business-to-business sellers should also think about long-standing accounts that pay with commercial cards before planning any fee on them.
We will track it with you
CELER Merchants is an independent merchant services agent, not a processor or a law firm. We follow what is actually enforceable and update a merchant's setup only when a rule is final. Send us a recent statement and we will show you your pricing model, your effective rate and your card mix, free. This page is general information based on public reports as of November 9, 2026, not legal advice. Court dates and outcomes can change; check the official settlement website or your own counsel for the current status.
Key takeaways
- The final approval hearing is set for November 16, 2026, in federal court in Brooklyn
- Approval at the hearing is not the end: objectors have said they may appeal
- Nothing in the settlement changes what you may charge today
- Your pricing model decides whether a lower interchange rate ever reaches your statement
- State surcharge laws still apply even if the settlement becomes final
Related guides
Sources
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