Electronic payments are going to evolve. V and MA will evolve with it to maintain the duopoly. Same with traditional banking. If your fees get too lucrative it will attract competition like always. Maybe there will be 25 ways to pay or transfer in 10 years. There are certainly many more than there were 10 years ago. Might grow then consolidate. That was why I think M&A is possible but I believe V has struggled with anti-trust on that.
For the record I think the whole sector is a buy right now. The PEs are more reasonable, not that the market cares about that now. I'm sure they have new ways to make money I'm not even aware of, even if some fees do become more competitive. And people love their credit card rewards. There would be a mini-revolution if those went away.
High fees on the merchants make those possible.
For the record I think the whole sector is a buy right now. The PEs are more reasonable, not that the market cares about that now. I'm sure they have new ways to make money I'm not even aware of, even if some fees do become more competitive. And people love their credit card rewards. There would be a mini-revolution if those went away.
High fees on the merchants make those possible.