In a major victory for consumer rights, the UK Court has approved a £200 million settlement in a long-running case against Mastercard.
This landmark settlement offers eligible consumers compensation for excessive fees charged by Mastercard between 1992 and 2008. While the individual payouts may be modest, the case marks a significant win for UK consumers and underscores the need for corporate accountability.
If you lived in the UK during this period and made purchases from businesses accepting Mastercard, you could be entitled to compensation.
In this article, we’ll break down the details of the settlement, how to claim your share, and what this means for the future of consumer rights.
£200 Million Settlement: Key Information
| Topic | Details |
|---|---|
| Settlement Amount | £200 million |
| Who Can Claim? | UK consumers who were affected between 1992–2008 |
| Expected Payout | Estimated to be under £10 per person |
| Claim Deadline | TBA (Check the official website) |
| Official Website | Mastercard Consumer Claim |
Background of the Lawsuit
The class-action lawsuit was filed in 2016 by Walter Merricks, a former financial ombudsman, against Mastercard. The case alleged that Mastercard’s interchange fees led to higher consumer prices, thus affecting millions of UK consumers.
These fees, charged by Mastercard to merchants, were passed on to consumers in the form of higher prices for goods and services.
Initially, Mastercard fought the claim, disputing its legitimacy. However, after several appeals, the UK Supreme Court ruled in 2020 that the case could proceed to trial. After years of legal proceedings, the £200 million settlement has now been approved, providing relief to eligible consumers.
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Who Can Claim?
To qualify for a share of the settlement, the following criteria must be met:
| Eligibility Requirement | Details |
|---|---|
| Residency | Must have lived in the UK between 1992–2008 |
| Purchases Made | Must have bought goods or services from UK businesses accepting Mastercard during this period |
| No Mastercard Required | You do not need to have owned a Mastercard to qualify |
Consumers do not need to provide proof of purchase, as eligibility is based on residency and the use of Mastercard in the relevant period. This makes it easier for a broader group of consumers to qualify.
How Much Will You Receive?
The amount you will receive depends on how many people claim the settlement. If all eligible consumers claim, the payout may be less than £10 per person.
If fewer people claim, payouts could be higher. The total amount will be proportionally distributed based on the number of claimants.
How to Claim Your Share
Claiming your share of the settlement is straightforward. Here’s how to do it:
- Step 1: Register Your Interest
Visit the official Mastercard Consumer Claim website to register your interest and stay updated on the claims process. - Step 2: Await Distribution Plan
The Competition Appeal Tribunal (CAT) is still finalizing how the funds will be distributed. Updates will be posted on the official website as soon as the distribution plan is confirmed. - Step 3: Submit Your Claim
Once the claims process opens, you will need to:- Fill out an online claim form.
- Provide basic personal details to confirm your eligibility.
- Submit your claim before the announced deadline.
- Step 4: Receive Your Payment
After your claim is processed, payments will be made via bank transfer, PayPal, or another electronic payment method.
What This Settlement Means for Consumers
1. A Victory for Consumer Rights
This settlement is a significant win for consumer rights in the UK. It demonstrates that large corporations can be held accountable for unfair financial practices. This case also sets a precedent for future class-action lawsuits, empowering consumers to take action against corporate misconduct.
2. A Call for Transparent Pricing
The settlement encourages businesses, including financial institutions like Mastercard, to reconsider their pricing structures. With the heightened awareness of hidden fees, companies may revise their practices to avoid future legal challenges.
3. Impact on Future Legal Cases
The success of this case paves the way for more class-action lawsuits in the future. UK consumers can expect better protection against unfair financial practices as more collective actions are taken.
The £200 million settlement approved by the UK court is a historic moment for consumer protection in the UK. While the payout per person may be small, the case itself represents a significant victory against corporate practices that harm consumers.
If you lived in the UK between 1992 and 2008, you could be eligible for a share of this compensation. Make sure to stay updated on the official website and submit your claim when the process opens.
FAQs
How much will I receive from the £200 million settlement?
The payout amount will depend on how many people claim, with each individual potentially receiving under £10.
Do I need proof of purchase to claim?
No, you don’t need proof of purchase. Eligibility is based on your residency and spending habits during the period from 1992 to 2008.
How can I submit my claim for the settlement?
You can submit your claim through the official Mastercard Consumer Claim website once the process is open, by filling out an online form.