People who paid fees to withdraw cash from independent ATMs at stores, gas stations, hotels and bars in the U.S. could share in a proposed $167.5 million settlement with Visa and Mastercard, a deal that reaches back nearly two decades and could return money to millions of cardholders.
Visa and Mastercard ATM fee settlement reaches $167.5M
The proposed accord, tied to Burke v. Visa Inc., matters because it targets a fee structure that plaintiffs say kept ATM operators from routing transactions over cheaper rival networks, helping keep withdrawal costs higher for consumers. For investors, the settlement adds another legal overhang for two of the world’s biggest payments networks, even as the companies continue to deny wrongdoing and no court has found they violated the law.
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Visa would contribute $88.775 million and Mastercard $78.725 million under the proposed deal, according to the notice. After legal fees, litigation costs and administration expenses, the remaining pool would be split among eligible claimants, with no fixed payout per person.
The claims window covers withdrawals from Oct. 24, 2007, through Aug. 14, 2026, but only for cash taken from a deposit account using an ATM or debit card with a PIN. Credit card cash advances, prepaid cards and transactions where the bank fully reimbursed the fee do not qualify. Separate state classes cover California, Illinois, Massachusetts and Michigan.
Consumers seeking a payment must file a claim online or by mail postmarked by Feb. 10, 2027. A fairness hearing is set for Feb. 17, 2027, and, if the deal wins approval and survives any appeals, the administrator expects payments could begin within six months, with options including PayPal, a virtual debit card or a paper check.
For Visa and Mastercard, the case lands amid heightened scrutiny of payment fees and network rules that govern how transactions are routed and priced. For consumers, the settlement offers a chance to recoup small charges that can add up over years of ATM use.
| Entity | Gains | Losses |
|---|---|---|
| Cash withdrawers | ▲Potential fee refunds | ▼No guaranteed payout |
| Visa | ▲Legal resolution | ▼Settlement cost |
| Mastercard | ▲Legal resolution | ▼Settlement cost |
| ATM operators | ▲Less fee pressure | ▼Lower pricing flexibility |
