Latest news with #Merricks
North Wales Chronicle
3 days ago
- Business
- North Wales Chronicle
Compensation delayed for millions of Brits in Mastercard
This follows the Competition Appeal Tribunal's approval on how the settlement should be distributed last month, following the class action against Mastercard, which dates back to 2016. Walter Merricks, the former financial ombudsman, launched his claim after the European Commission ruled in 2007 that Mastercard's 'multilateral interchange fees' charged to businesses had since 1992 infringed competition law. He alleged that 46 million shoppers in Britain were ripped off after fees were wrongly levied on transactions made over a 15-year period between 1992 and 2008. The fees were paid by retailers accepting Mastercard payments, rather than by consumers themselves. But Mr Merricks claimed shoppers had lost out as retailers passed on these fees in the form of higher prices. It followed the arrival of the Consumer Rights Act 2015, which allowed for US-style class actions in UK competition claims. A statement from Mr Merricks said millions of UK consumers who are part of the class action could now come forward and claim their share of the £200 million, with individuals potentially getting between £45 and £70 each. Recommended reading Mr Merricks said UK consumers would shortly be able to register to receive a payment by completing a simple online form, regardless of whether they ever held a Mastercard card - bit that now seems to be delayed. Commenting on the outcome, Mr Merricks said: 'I started this case because I believed that Mastercard's fees paid by retailers for processing card transactions had been unlawfully high and virtually all UK consumers had lost out for long periods by paying higher prices than they should have done as retailers passed on those costs. 'As the evidence came to be known through the litigation process, this was the position only in a relatively small proportion of transactions and the settlement reflects that.'
The Irish Sun
3 days ago
- Business
- The Irish Sun
Millions who were set to get up to £70 in compensation from Mastercard could now be waiting months for payment
MILLIONS of Brits who are eligible for compensation from Mastercard could be forced to wait months for the payment. The credit card company has agreed to a £200million settlement which could mean you are owed money for purchases made years ago. Advertisement 1 Millions of people could be forced to wait months for compensation from Mastercard Credit: AP:Associated Press Around 47million customers could receive compensation of up to £70 each after a landmark legal victory in May. But it could be months until the money is paid out. This is because Innsworth is now trying to challenge how the funds will be shared, according to MoneySavingExpert. Innsworth is a business that helps to fund legal claims, in exchange for a share of the winnings. Advertisement Read more on money But in this instance, Innsworth said the Tribunal that approved the settlement "made a series of errors in its judgement" when deciding how much of the money it should be given. The company has now filed a legal claim called a judicial review to try and get a larger amount. As a result of the new case, the launch of the online claims portal will be delayed, so payouts will also be pushed back. Meanwhile, if Innsworth wins its case and gets more of the £200million, it could reduce the amount of money customers get. Advertisement Most read in Money When was the legal challenge launched? Walter Merricks, a former financial ombudsman, launched the legal claim in 2016. He alleged that 46million British shoppers were ripped off after fees were wrongly levied on transactions made over a 15-year period between 1992 and 2008. Retailers were charged fees by Mastercard to process card payments, and allegedly passed those costs on to customers through inflated prices. Although Mastercard provided the technology for card payments, the case argued its fees led to the overcharging of customers. Advertisement The settlement was approved in May and marked a big victory for consumer rights. But it fell short of the settlement of up to £17billion that Merricks originally wanted. MERRICKS VS MASTERCARD 2015 New rules under the UK's Consumer Rights Act 2015 mean collective claims can be made. 2016 Mr Merricks starts a lawsuit claiming that Mastercard overcharged shoppers. 2017 Mr Merricks' claim was dismissed by the Competition Appeal Tribunal (CAT), as was an application to appeal the decision. 2018 The Court of Appeal ruled that Mr Merricks be allowed to appeal the CAT decision. 2019 Mr Merricks' appeal was heard by the Court of Appeal and the decision was upheld. Mastercard was then given permission to appeal that decision by the Supreme Court. 2020 After hearing the appeal, the Supreme Court dismissed it and ruled the case could go ahead. 2021 After hearing the case, the CAT ruled in Mr Merricks' favour. 2022 Mastercard's final challenge was dismissed in the Court of Appeal. Late 2024 Mastercard and Merricks reach a proposed settlement. 2025 The Competition Appeal Tribunal is due to hear the settlement on February 19. Spring 2025 The Competition Appeal Tribunal gave its final approval to the £200million settlement in the long running class action against Mastercard. How much could I get? The amount of compensation you will get depends on how many people file a claim. It may now also depend on what share Innsworth walks away with. Advertisement Of the £200million settlement, £100million has been earmarked for consumer payouts. Experts at MoneySavingExpert predict that if just 5% of eligible individuals claim, the payouts could be up to £70. But if more people apply, the payout could fall to around £45. The remaining £100million has been set aside for legal costs and other expenses. Advertisement Am I eligible? You do not need to have ever used a Mastercard to qualify for the compensation. This is because the claim argues that all shoppers were affected by the inflated prices, regardless of how they paid. To qualify for the compensation, you need to match the following criteria: You lived in the UK (England, Wales or Northern Ireland) for at least three consecutive months between June 20, 1997, and June 21, 2008. For those who lived in Scotland, the period extends from May 22, 1992, to June 21, 2008. You were aged 16 or over during the relevant period. You purchased goods or services in the UK during this time for non-business purposes. You won't need to provide proof of purchase. You were still living in the UK on September 6, 2016 (when the claim was filed). How do I make a claim? An online claims portal is expected to launch in the coming months on the Mastercard Consumer Claim website, which is managed by legal services firm Epiq. Advertisement Those who think they have been affected will have several months to make their claim online. The process should be straightforward and will require you to confirm your eligibility and give basic personal information such as your date of birth, address and bank details. No supporting documentation will be required. If you are deemed eligible then Mastercard is expected to issue payments within 28 days. Advertisement Individuals will have until the end of 2025 to submit their claims. Do you have a money problem that needs sorting? Get in touch by emailing . Plus, you can join our
The Herald Scotland
3 days ago
- Business
- The Herald Scotland
Compensation delayed for millions of Brits in Mastercard
Walter Merricks, the former financial ombudsman, launched his claim after the European Commission ruled in 2007 that Mastercard's 'multilateral interchange fees' charged to businesses had since 1992 infringed competition law. He alleged that 46 million shoppers in Britain were ripped off after fees were wrongly levied on transactions made over a 15-year period between 1992 and 2008. Why the payments could be open to all UK shoppers? The fees were paid by retailers accepting Mastercard payments, rather than by consumers themselves. But Mr Merricks claimed shoppers had lost out as retailers passed on these fees in the form of higher prices. It followed the arrival of the Consumer Rights Act 2015, which allowed for US-style class actions in UK competition claims. A statement from Mr Merricks said millions of UK consumers who are part of the class action could now come forward and claim their share of the £200 million, with individuals potentially getting between £45 and £70 each. Recommended reading How can people register for a share of the compensation? Mr Merricks said UK consumers would shortly be able to register to receive a payment by completing a simple online form, regardless of whether they ever held a Mastercard card - bit that now seems to be delayed. Commenting on the outcome, Mr Merricks said: 'I started this case because I believed that Mastercard's fees paid by retailers for processing card transactions had been unlawfully high and virtually all UK consumers had lost out for long periods by paying higher prices than they should have done as retailers passed on those costs. 'As the evidence came to be known through the litigation process, this was the position only in a relatively small proportion of transactions and the settlement reflects that.'
South Wales Guardian
3 days ago
- Business
- South Wales Guardian
Compensation delayed for millions of Brits in Mastercard
This follows the Competition Appeal Tribunal's approval on how the settlement should be distributed last month, following the class action against Mastercard, which dates back to 2016. Walter Merricks, the former financial ombudsman, launched his claim after the European Commission ruled in 2007 that Mastercard's 'multilateral interchange fees' charged to businesses had since 1992 infringed competition law. He alleged that 46 million shoppers in Britain were ripped off after fees were wrongly levied on transactions made over a 15-year period between 1992 and 2008. The fees were paid by retailers accepting Mastercard payments, rather than by consumers themselves. But Mr Merricks claimed shoppers had lost out as retailers passed on these fees in the form of higher prices. It followed the arrival of the Consumer Rights Act 2015, which allowed for US-style class actions in UK competition claims. A statement from Mr Merricks said millions of UK consumers who are part of the class action could now come forward and claim their share of the £200 million, with individuals potentially getting between £45 and £70 each. Recommended reading Mr Merricks said UK consumers would shortly be able to register to receive a payment by completing a simple online form, regardless of whether they ever held a Mastercard card - bit that now seems to be delayed. Commenting on the outcome, Mr Merricks said: 'I started this case because I believed that Mastercard's fees paid by retailers for processing card transactions had been unlawfully high and virtually all UK consumers had lost out for long periods by paying higher prices than they should have done as retailers passed on those costs. 'As the evidence came to be known through the litigation process, this was the position only in a relatively small proportion of transactions and the settlement reflects that.'
Daily Mirror
3 days ago
- Business
- Daily Mirror
Mastercard compensation payments delayed as new legal challenge launched
The payment card provider has agreed to pay £200million to settle a case against it - with millions of people due up to £70 each Millions of Brits could be forced to wait months for compensation from Mastercard due to a new legal challenge. The payment card provider has agreed to pay £200million to settle a case against it - with millions of people due up to £70 each. Walter Merricks, the former financial ombudsman, argued that 46 million shoppers were ripped off after fees were wrongly levied on transactions between 1992 and 2008. The fees were paid by retailers accepting Mastercard payments, rather than by customers themselves - meaning you don't necessarily need to have owned a Mastercard to be eligible for compensation. The Competition Appeal Tribunal gave its final approval last month - but now, it has been revealed that the online claims portal is being delayed following a legal challenge from a company called Innsworth. Innsworth helped fund the case but is now trying to challenge how these funds will be split. reports that this could see payments delayed by months. You may be eligible for payments if you lived in England, Wales or Northern Ireland for at least three months between June 1997 and June 2008, and you bought goods or services from UK businesses that accepted Mastercard credit cards. If you live in Scotland, the starting point is May 1992. The judgment has ringfences £100million for consumers, and if the expected 5% of claimants – 2.5 million people – come forward, then they will receive £45 each. If fewer claimants come forward, then payments will be capped at £70 per claimant. Once the legal challenge is resolved, an online claims portal will be launched at Commenting on the original outcome of the case, Mr Merricks said: 'I started this case because I believed that Mastercard's fees paid by retailers for processing card transactions had been unlawfully high and virtually all UK consumers had lost out for long periods by paying higher prices than they should have done as retailers passed on those costs. 'As the evidence came to be known through the litigation process, this was the position only in a relatively small proportion of transactions and the settlement reflects that. 'The settlement that has today been finally approved represents a fair and just outcome for UK consumers. On any view, recovering £200 million by way of a settlement for UK consumers is a huge sum, and that will translate into a meaningful impact in the pockets of UK consumers.'
