What Does the Capital One/Discover Merger Mean for Small Businesses?

Motley Fool04-16

KEY POINTSThe Capital One/Discover merger could bring new opportunities to big corporate merchants, but probably not mom-and-pop retailers.Visa and Mastercard recently announced a landmark deal to ...

Source Link

Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.

Comments

We need your insight to fill this gap

Leave a comment

{"i18n":{"language":"en_US"},"isChannel":false,"data":{"share":"https://ttm.financial/m/news/2427832110?lang=en_US&edition=fundamental","thumbnail":"https://g.foolcdn.com/image/?url=https%3A%2F%2Fm.foolcdn.com%2Fmedia%2Faffiliates%2Fimages%2Fwoman_holding_credit_card_over_payment_reader.width-1200_I5Alpwc.jpg&op=resize&w=165&h=104","is_english":true,"pubTime":"2024-04-16 06:00","share_image_url":"https://static.laohu8.com/e9f99090a1c2ed51c021029395664489","id":"2427832110","market":"us","top_or_hot":-1,"title":"What Does the Capital One/Discover Merger Mean for Small Businesses?","media":"Motley Fool","content":"<div>\n<p>KEY POINTSThe Capital One/Discover merger could bring new opportunities to big corporate merchants, but probably not mom-and-pop retailers.Visa and Mastercard recently announced a landmark deal to ...</p>\n\n<a href=\"https://www.fool.com/the-ascent/credit-cards/articles/what-does-the-capital-onediscover-merger-mean-for-small-businesses/\">Source Link</a>\n\n</div>\n","source":"fool_stock","html":"<!DOCTYPE html>\n<html>\n<head>\n<meta http-equiv=\"Content-Type\" content=\"text/html; charset=utf-8\" />\n<meta name=\"viewport\" content=\"width=device-width,initial-scale=1.0,minimum-scale=1.0,maximum-scale=1.0,user-scalable=no\"/>\n<meta name=\"format-detection\" content=\"telephone=no,email=no,address=no\" />\n<title>What Does the Capital One/Discover Merger Mean for Small Businesses?</title>\n<style type=\"text/css\">\na,abbr,acronym,address,applet,article,aside,audio,b,big,blockquote,body,canvas,caption,center,cite,code,dd,del,details,dfn,div,dl,dt,\nem,embed,fieldset,figcaption,figure,footer,form,h1,h2,h3,h4,h5,h6,header,hgroup,html,i,iframe,img,ins,kbd,label,legend,li,mark,menu,nav,\nobject,ol,output,p,pre,q,ruby,s,samp,section,small,span,strike,strong,sub,summary,sup,table,tbody,td,tfoot,th,thead,time,tr,tt,u,ul,var,video{ font:inherit;margin:0;padding:0;vertical-align:baseline;border:0 }\nbody{ font-size:16px; line-height:1.5; color:#999; background:transparent; }\n.wrapper{ overflow:hidden;word-break:break-all;padding:10px; }\nh1,h2{ font-weight:normal; line-height:1.35; margin-bottom:.6em; }\nh3,h4,h5,h6{ line-height:1.35; margin-bottom:1em; }\nh1{ font-size:24px; }\nh2{ font-size:20px; }\nh3{ font-size:18px; }\nh4{ font-size:16px; }\nh5{ font-size:14px; }\nh6{ font-size:12px; }\np,ul,ol,blockquote,dl,table{ margin:1.2em 0; }\nul,ol{ margin-left:2em; }\nul{ list-style:disc; }\nol{ list-style:decimal; }\nli,li p{ margin:10px 0;}\nimg{ max-width:100%;display:block;margin:0 auto 1em; }\nblockquote{ color:#B5B2B1; border-left:3px solid #aaa; padding:1em; }\nstrong,b{font-weight:bold;}\nem,i{font-style:italic;}\ntable{ width:100%;border-collapse:collapse;border-spacing:1px;margin:1em 0;font-size:.9em; }\nth,td{ padding:5px;text-align:left;border:1px solid #aaa; }\nth{ font-weight:bold;background:#5d5d5d; }\n.symbol-link{font-weight:bold;}\n/* header{ border-bottom:1px solid #494756; } */\n.title{ margin:0 0 8px;line-height:1.3;color:#ddd; }\n.meta {color:#5e5c6d;font-size:13px;margin:0 0 .5em; }\na{text-decoration:none; color:#2a4b87;}\n.meta .head { display: inline-block; overflow: hidden}\n.head .h-thumb { width: 30px; height: 30px; margin: 0; padding: 0; border-radius: 50%; float: left;}\n.head .h-content { margin: 0; padding: 0 0 0 9px; float: left;}\n.head .h-name {font-size: 13px; color: #eee; margin: 0;}\n.head .h-time {font-size: 11px; color: #7E829C; margin: 0;line-height: 11px;}\n.small {font-size: 12.5px; display: inline-block; transform: scale(0.9); -webkit-transform: scale(0.9); transform-origin: left; -webkit-transform-origin: left;}\n.smaller {font-size: 12.5px; display: inline-block; transform: scale(0.8); -webkit-transform: scale(0.8); transform-origin: left; -webkit-transform-origin: left;}\n.bt-text {font-size: 12px;margin: 1.5em 0 0 0}\n.bt-text p {margin: 0}\n</style>\n</head>\n<body>\n<div class=\"wrapper\">\n<header>\n<h2 class=\"title\">\nWhat Does the Capital One/Discover Merger Mean for Small Businesses?\n</h2>\n\n<h4 class=\"meta\">\n\n\n2024-04-16 06:00 GMT+8&nbsp;&nbsp;&nbsp;<a href=https://www.fool.com/the-ascent/credit-cards/articles/what-does-the-capital-onediscover-merger-mean-for-small-businesses/><strong>Motley Fool</strong></a>\n\n\n</h4>\n\n</header>\n<article>\n<div>\n<p>KEY POINTSThe Capital One/Discover merger could bring new opportunities to big corporate merchants, but probably not mom-and-pop retailers.Visa and Mastercard recently announced a landmark deal to ...</p>\n\n<a href=\"https://www.fool.com/the-ascent/credit-cards/articles/what-does-the-capital-onediscover-merger-mean-for-small-businesses/\">Source Link</a>\n\n</div>\n\n\n</article>\n</div>\n</body>\n</html>\n","isBrief":false,"type":0,"news_type":1,"symbol":"LU0820561909.HKD","symbol_name":"ALLIANZ INCOME AND GROWTH \"AM\" (HKD) INC","start_time":0,"source_url":"https://www.fool.com/the-ascent/credit-cards/articles/what-does-the-capital-onediscover-merger-mean-for-small-businesses/","article_id":"2427832110","we_media_id":null,"thumbnails":["https://g.foolcdn.com/image/?url=https%3A%2F%2Fm.foolcdn.com%2Fmedia%2Faffiliates%2Fimages%2Fwoman_holding_credit_card_over_payment_reader.width-1200_I5Alpwc.jpg&op=resize&w=165&h=104"],"rights":null,"url":"https://stock-news.laohu8.com/highlight/detail?id=2427832110","pubTimestamp":1713218400,"sourceInfo":{"source_id":"fool_stock","name":"Motley Fool"},"weMediaInfo":null,"summary":"Capital One buying Discover, and the new Visa and Mastercard legal agreement on swipe fees, could bring changes to credit cards for small businesses. See how.","collect":0,"end_time":0,"defaultTopTitle":"fool.com","property":[],"viewcount":null,"language":"en","relate_stocks":{"LU0820561909.HKD":"ALLIANZ INCOME AND GROWTH \"AM\" (HKD) INC","MA":"万事达","DFS":"发现金融","BK4585":"ETF&股票定投概念","LU0820562030.AUD":"ALLIANZ INCOME AND GROWTH \"AMH2\" (AUDHDG) H2 INC","LU0109392836.USD":"富兰克林科技股A","LU0557290698.USD":"施罗德环球可持续增长基金","LU1861217088.USD":"贝莱德金融科技A2","LU0965509010.AUD":"AB LOW VOLATILITY EQUITY PORTFOLIO \"AD\" (AUDHDG) INC","V":"Visa","LU1363072403.SGD":"Fidelity Global Financial Services A-ACC-SGD","BK4566":"资本集团","LU0011850046.USD":"贝莱德全球长线股票 A2 USD","LU1861220207.SGD":"Blackrock FinTech A2 SGD-H","LU0175139822.USD":"AB FCP I Global Equity Blend A USD","IE00BWXC8680.SGD":"PINEBRIDGE US LARGE CAP RESEARCH ENHANCED \"A5\" (SGD) ACC","LU0097036916.USD":"贝莱德美国增长A2 USD","LU0689472784.USD":"安联收益及增长基金Cl AM AT Acc","LU0320765059.SGD":"FTIF - Franklin US Opportunities A Acc SGD","LU0861579265.USD":"联博低波幅策略股票基金A","LU1046421795.USD":"富达环球科技A-ACC","LU0198837287.USD":"UBS (LUX) EQUITY SICAV - USA GROWTH \"P\" (USD) ACC","BK4588":"碎股","LU0289961442.SGD":"SUSTAINABLE GLOBAL THEMATIC PORTFOLIO \"AX\" (SGD) ACC","LU0985320562.USD":"NORDEA 1 GLOBAL STARS EQUITY \"BP\" (USD) ACC","LU0971096721.USD":"富达环球金融服务 A","LU1064131342.USD":"Fullerton Lux Funds - Global Absolute Alpha A Acc USD","LU0444971666.USD":"天利全球科技基金","LU0786609619.USD":"高盛全球千禧一代股票组合Acc","LU0820561818.USD":"安联收益及增长平衡基金Cl AM DIS","LU0170899867.USD":"EASTSPRING INVESTMENTS WORLD VALUE EQUITY  \"A\" (USD) ACC","LU0957791311.USD":"THREADNEEDLE (LUX) GLOBAL FOCUS \"ZU\" (USD) ACC","LU0127658192.USD":"EASTSPRING INVESTMENTS GLOBAL TECHNOLOGY \"A\" (USD) ACC","LU0289941410.SGD":"AB FCP I Dynamic Diversified AX SGD","LU0289739343.SGD":"SUSTAINABLE GLOBAL THEMATIC PORTFOLIO \"A\" (SGD) ACC","LU1316542783.SGD":"Janus Henderson Horizon Global Technology Leaders A2 SGD","IE00BFSS7M15.SGD":"Janus Henderson Balanced A Acc SGD-H","LU0234570918.USD":"高盛全球核心股票组合Acc Close","LU0957808578.USD":"THREADNEEDLE (LUX) GLOBAL TECHNOLOGY \"ZU\" (USD) ACC","LU0238689110.USD":"贝莱德环球动力股票基金","LU0056508442.USD":"贝莱德世界科技基金A2","LU0642271901.SGD":"Janus Henderson Horizon Global Technology Leaders A2 SGD-H","COF":"第一资本","LU":"陆金所","BK4516":"特朗普概念","LU1267930730.SGD":"富兰克林美国机遇基金AS Acc SGD (CPF)","IE00BKVL7J92.USD":"Legg Mason ClearBridge - US Equity Sustainability Leaders A Acc USD","LU0390134368.USD":"FRANKLIN GLOBAL GROWTH \"A\" (USD) ACC","LU0640476718.USD":"THREADNEEDLE (LUX) US CONTRARIAN CORE EQ \"AU\" (USD) ACC","IE00BJJMRY28.SGD":"Janus Henderson Balanced A Inc SGD"},"translate_title":"Capital One/Discover合并对小企业意味着什么？","themeId":null,"isJumpTheme":false,"ttsUrl":null,"symbols_score_info":{"COF":1,"DFS":1,"V":0.9,"MA":0.9,"LU":0.6},"content_text":"KEY POINTSThe Capital One/Discover merger could bring new opportunities to big corporate merchants, but probably not mom-and-pop retailers.Visa and Mastercard recently announced a landmark deal to reduce swipe fees, but only by about 0.04%.Small business owners should use rewards credit cards -- for both business and personal spending.Check out our pick for the best cash back credit card of 2024Small business owners don't love paying credit card processing fees. If you own a restaurant or brick-and-mortar retail business, losing 2.24% or more of every transaction can feel like a painful cost of doing business. The recently announced Capital One/Discover merger, along with some other developments in the credit card industry, could bring big changes to credit card swipe fees.But will any of the changes to swipe fees really make a big difference for small businesses? We talked with a credit card expert to find out.Capital One/Discover merger: No big relief for small businessesCapital One recently announced that it is buying Discover (and the Discover payment network) in a deal that could transform the credit card industry. By owning Discover's payment network, Capital One could potentially compete with Visa and Mastercard and offer merchants and retailers (including small businesses) a better deal on swipe fees.Featured offer: save money while you pay off debt with one of these top-rated balance transfer credit cardsEric Cohen, CEO and Founder of Merchant Advocate, a company that helps businesses save money on credit card processing rates and fees, said that big corporate merchants are most likely to benefit from the Capital One/Discover merger.\"Given the ongoing conversation and potential regulations, it's far too early to know if there is upside for small businesses,\" Eric Cohen said. \"However, in the past, similar large-scale mergers have mostly worked to benefit larger corporations instead of the everyday mom-and-pop shop.\"For example, Capital One has stated that it wants to work more closely with merchants to drive more sales for them while creating good deals for consumers. No one knows yet exactly what that might look like, but it could involve better offers from merchants, premium customer experiences, and specialized customer loyalty programs. Of course, most of those capabilities require \"big business\" size and scale that are beyond the reach of small businesses.And any big changes from the Capital One/Discover merger might not happen anytime soon. The deal still requires federal approval from the FTC, which is not guaranteed -- the U.S. government has recently acted against a few other high-profile mergers, such as JetBlue's attempted purchase of Spirit Airlines.\"If the deal does pass and Capital One chooses to push Discover as a third network without increasing interchange costs, merchants may see some relief in the years ahead, but it will be far from immediate,\" Eric Cohen from Merchant Advocate said.Visa and Mastercard $30 billion settlement: Small businesses won't see big changesAnother big development in the credit card world was announced on March 26, 2024, when Visa and Mastercard agreed to reduce credit card swipe fees for merchants. This deal made big headlines, as the approximate cost savings for merchants are expected to be about $30 billion over five years.But if you drill down into the details, this is less of a big deal for small business owners. Visa and Mastercard are only agreeing to reduce swipe fees by about four basis points (0.04%), and only for three years. So if your small business runs $100,000 worth of payments through Visa or Mastercard credit cards per year, you might save about $40.What should small business owners do about swipe fees?You might not be able to reduce the costs of credit cards in your role as a small business owner. But you can do more to reap the benefits of credit cards in your life as a credit card customer. Get a small business rewards credit card. Try to run more of your everyday (and monthly) business spending through a credit card that actually pays you some valuable rewards.Some of the best business credit cards pay up to 4% or 5% cash back on everyday business spending categories. You can also earn valuable travel rewards and welcome offers with tens of thousands of bonus points. Rewards credit cards are a good way for small business owners to get a cut of the swipe fee action. You can turn credit card swipe fees from a painful cost of doing business into extra \"fun money\" for your personal finances.Bottom lineDespite the big headlines about the Capital One/Discover merger and the Visa and Mastercard $30 billion swipe fee deal, small business owners are not likely to see big changes or cost savings anytime soon. Credit card processing fees are a big part of everyday payments activity, and ideally the convenience for your customers is worth the cost to your business. But small business owners still have options to get a bigger cut of those fees: Use the best rewards credit cards in your everyday spending as a company owner and in your personal life.Alert: our top-rated cash back card now has 0% intro APR until 2025This credit card is not just good – it’s so exceptional that our experts use it personally. It features a lengthy 0% intro APR period, a cash back rate of up to 5%, and all somehow for no annual fee! Click here to read our full review for free and apply in just 2 minutes.","kind":null,"is_publish_news":null,"is_publish_highlight":null,"is_publish_live":null,"is_publish_wemedia":null,"editions":null,"symbols":[],"gpt_button":1},"commentList":[],"isCommentEnd":true,"newsSizeData":{"likeSize":0,"commentSize":0,"repostSize":0,"favoriteSize":0,"likeStatus":false,"favoriteStatus":false},"APP":{"userAgent":"Mozilla/5.0 AppleWebKit/537.36 (KHTML, like Gecko; compatible; ClaudeBot/1.0; +claudebot@anthropic.com)","isDev":false,"isTTM":true,"deviceId":"web-server-community-laohu8-v3","version":"4.22.4","shortVersion":"4.22.4","platform":"web","vendor":"web","appName":"ttm","isIOS":false,"isAndroid":false,"isTiger":false,"isTHS":false,"isWeiXin":false,"isWeiXinMini":false,"isWeiBo":false,"isQQ":false,"isBaiduSwan":false,"isBaiduBox":false,"isDingTalk":false,"isToutiao":false,"isOnePlus":false,"isHuaWei":false,"isXiaomi":false,"isXiaomiWebView":false,"isOppo":false,"isVivo":false,"isSamsung":false,"isMobile":false},"href":"/m/news/2427832110"}