American Express Buys Revolution Money
Ironwolfpayment tweets today’s big news:
American Express Says It Will Buy Revolution Money http://bit.ly/jW66N
As Bloomberg reports, American Express is buying the payments startup Revolution Money.
What is Revolution Money?
Revolution sought to capitalize on retailers’ discontent with traditional credit cards by charging a flat transaction fee of half a percent. U.S. banks deduct merchant-discount fees averaging about 2 percent of purchases made with most cards, including those processed on the Visa and MasterCard networks. AmEx’s merchant-discount rate averages more than 2.5 percent, the highest of the four biggest payment networks.
It’s unclear what the purchase will mean for the future of the company or for consumers. However, it will be interesting to see these two leaders combine forces.
Tags: american express, amex, consumers, discontent, half a percent, merchant discount rate, money, payment networks, rate averages, visa
[...] Today, we were alerted to some interesting analysis of American Express’s purchase of Revolution Money. [...]
Leave your response!