Visa and Mastercard Reach $167.5 Million Settlement Over Independent ATM Surcharges

If you paid an out-of-pocket surcharge to withdraw cash from an independent ATM at a convenience store, gas station, or hotel over the past 19 years, you may be eligible to claim a cash payout. Visa and Mastercard have agreed to a $167.5 million class action settlement resolving claims that they illegally inflated ATM access fees nationwide.

The settlement concludes a long-running antitrust lawsuit asserting that Visa and Mastercard enforced restrictive rules to eliminate competition and keep cash withdrawal surcharges artificially high. While neither company admits wrongdoing, both agreed to establish the settlement fund to resolve the litigation.

At ClassActionU.org, our mission is to empower everyday people to hold powerful financial institutions accountable and claim the compensation they deserve. Below is everything you need to know about the case, who qualifies, and how you can file your claim before the upcoming court deadline.

What Triggered the $167.5 Million ATM Surcharge Lawsuit Against Visa and Mastercard?

The lawsuit, titled Burke et al. v. Visa Inc. et al., focuses on strict rules Visa and Mastercard imposed on independent ATM operators across the country. Unlike bank-owned ATMs located at financial institution branches, independent ATMs are operated by third-party companies and are typically found in convenience stores, grocery outlets, airports, and entertainment venues.

Plaintiffs in the class action alleged that Visa and Mastercard violated federal antitrust laws, specifically the Sherman Antitrust Act, along with state competition statutes in California, Illinois, Massachusetts, and Michigan. According to court filings, the card giants prohibited independent ATM owners from offering lower surcharge fees for transactions processed over competing debit networks, even when those alternative networks charged lower underlying processing costs.

By barring ATM operators from offering discounted access fees on non-Visa or non-Mastercard networks, the defendants allegedly engaged in illegal price-fixing. The lawsuit asserted that these rules eliminated price competition, forcing cardholders to pay higher access fees whenever they withdrew cash from independent terminals.

How Restricted Network Rules Driven Up ATM Withdrawal Costs for Everyday Consumers

When you insert a debit or ATM card into a cash machine, the terminal routes your transaction across an electronic payment network. While Visa and Mastercard dominate this space, smaller debit networks also exist and often charge lower processing fees to ATM operators.

Under standard free-market conditions, an ATM owner could pass those savings along to you by offering a reduced surcharge when your transaction uses a lower-cost network. However, plaintiffs argued that Visa and Mastercard used their market dominance to prevent this practice through “nondiscrimination” rules.

These rules effectively prohibited independent operators from charging different access fees based on the underlying network used. As a result, an artificial price floor was established for independent ATM surcharges nationwide, leaving millions of consumers to absorb inflated fees for nearly two decades.

Who Is Eligible to File a Claim and Receive a Cash Payment?

You may be eligible to receive a cash payout from this settlement if you used a debit or ATM card to withdraw cash from an independent ATM in the United States during the covered timeframe.

To meet the settlement class criteria, you must satisfy the following conditions:

• Timeframe: You completed a domestic cash withdrawal between October 24, 2007 and August 14, 2026.

• ATM Location: The withdrawal took place at an independent ATM (a cash machine not owned by a bank or financial institution).

• Unreimbursed Fees: You were charged an out-of-pocket surcharge or access fee that was not fully reimbursed by your bank.

• Eligible Transaction Type: The transaction was a cash withdrawal from a deposit account using an ATM or PIN-debit card.

Transactions made with credit cards, cash advances, or prepaid cards do not qualify for this settlement.

How Much Money Can You Receive From the Settlement Fund?

The final payment amount for each class member will depend on the total number of valid claim forms submitted nationwide. Approved claimants will receive a pro rata (equal-share) cash distribution from the net settlement fund after court-approved legal fees, incentive awards, and administrative expenses are deducted.

Because millions of cardholders used independent ATMs over the 19-year period, individual payout amounts cannot be finalized until all claims are processed. Cash distributions will begin after the court grants final approval to the agreement and any appeals are resolved.

This $167.5 million deal follows a separate $197.5 million class action settlement involving Visa and Mastercard over ATM surcharges in 2024, highlighting the massive financial scope of anti-competitive fee rules in the payments industry.

How to File Your Claim Online or by Mail Step-by-Step

Filing a claim is simple, straightforward, and requires no out-of-pocket payment or legal representation.

Follow these steps to submit your claim before the court deadline:

1. Visit the Official Portal: Go to the official court-approved settlement website at NonBankATMSurchargeSettlement.com.

2. Fill Out the Claim Form: Enter your contact details and basic transaction verification. If you received a notice via email or mail, enter your Notice ID number to expedite your filing.

3. Alternative Mail Submission: You can also download a PDF version of the claim form from the official website, print it out, complete it, and mail it to the settlement administrator.

4. Submit On Time: All online claims must be submitted, or paper claims postmarked, no later than February 10, 2027.

The court has scheduled a Final Approval Hearing for February 17, 2027, to review the terms of the settlement and decide whether to give final approval to the resolution.

When major financial corporations enforce rules that artificially drive up everyday expenses, class action lawsuits give consumers the power to demand fairness and accountability.

If you paid an unreimbursed fee to withdraw cash at an independent ATM between October 24, 2007 and August 14, 2026, you may be eligible to collect cash.