The U.S. Department of Justice is suing Visa, accusing the company of maintaining an illegal monopoly in the debit network market to stifle competition. According to a press release, the DOJ alleges that Visa uses its dominant position to limit innovation and keep smaller players out of the market.
According to the department, more than 60% of debit transactions in the U.S. go through Visaâs network, allowing the company to collect more than $7 billion in fees each year. Those costs are passed on to consumers through higher prices and poorer service.
The lawsuit also says Visa's actions harm the economy by creating additional costs for businesses and slowing technological innovation in the debit payments industry. The DOJ wants to restore fair competition in the market.
