By Ben Glickman

A federal judge on Tuesday tentatively approved a settlement between Visa and Mastercard and a class of merchants, paving the way for potential big changes to credit-card rewards.

The agreement would end a 20-year legal battle between the card networks and a group of merchants, who have argued that the fees they are charged for each transaction are too high. Initially reached in November, the settlement would give merchants more flexibility to reject certain credit cards and would mandate lowering swipe fees over multiple years.

Judge Brian Cogan of the Eastern District of New York granted preliminary approval to the settlement. The agreement was criticized by some merchants and trade groups, who argued it didn't go far enough.

A prior settlement reached in 2024 was rejected by the court.

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(END) Dow Jones Newswires

June 09, 2026 18:45 ET (22:45 GMT)

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