The Los Angeles Post
U.S. World Business Lifestyle
Today: April 04, 2025
Today: April 04, 2025

JPMorgan joins France's payments network CB to skirt Visa, Mastercard

A sign outside JP Morgan Chase & Co. offices is seen in New York
April 26, 2024
Reuters - Reuters

PARIS (Reuters) - JPMorgan Chase & Co said on Tuesday it had joined France's leading payments network Cartes Bancaires (CB), becoming the first U.S. bank to do so as it seeks to offer cheaper card payment costs to its clients in the country.

JPMorgan's merchant customers, which include some of the largest U.S. firms, will be able to process their payment via the CB's network by the end of 2024, JPMorgan added, offering a domestic alternative to rival services provided by Visa and Mastercard.

By doing so, the U.S. bank aims to "provide competitive transaction costs" to its clients, it said, without elaborating.

For international transactions where the CB network isn't accepted, the CB-branded cards can fall back on the Visa or Mastercard networks. In such cases, the payment processing would follow the rules and networks of Visa or Mastercard.

For payments made locally in France, it's usually cheaper for merchants run them over Cartes Bancaires.

JPMorgan joined Cartes Bancaires' 12-member governance body on Feb. 15.

The so-called "principal members" include all major French lenders such as BNP Paribas, Societe Generale and Credit Agricole. The only foreign bank in the circle so far was HSBC.

Founded 40 years ago, the Cartes Bancaires network processes about two thirds of the everyday French consumers' transactions. There are about 76 million CB cards in circulation. Cartes Bancaires also operates 50,000 cash dispensers.

Lenders are seeking to grow in the payments business, which a 2023 McKinsey report sees reaching $3.2 trillion globally in 2027, up from $2.2 trillion in 2022.

Out of this total, McKinsey estimates the share of banking revenues to be 38%, up from 36% in 2022.

(Reporting by Mathieu Rosemain; editing by David Evans)

Related Articles

Commerzbank hasn't talked with UniCredit after ECB approval for stake German regulator sets April deadline for any initial UniCredit-Commerzbank nod Australian bank CEOs say Trump 'tariff madness' may drive up global inflation Wells Fargo takes another step forward as OCC terminates 2021 consent order
Share This

Popular

Business|Political|US|World

Putin envoy on why Americans should believe there will be an outcome in war

Putin envoy on why Americans should believe there will be an outcome in war
Business|Economy|Political|US

Richard Quest explains who feels the immediate impact of Trump tariffs

Richard Quest explains who feels the immediate impact of Trump tariffs
Business|Political|US

Kirkland & Ellis in talks with White House to avoid executive order, WSJ reports

Kirkland & Ellis in talks with White House to avoid executive order, WSJ reports
Asia|Business|Political|World

Airline pilots need to be able to voice safety concerns freely, global union body says

Airline pilots need to be able to voice safety concerns freely, global union body says

Economy

Asia|Business|Economy|Finance|Political

BOJ to keep raising rates if inflation heads toward 2%, deputy governor says

BOJ to keep raising rates if inflation heads toward 2%, deputy governor says
Asia|Business|Economy|Finance|Stock Markets|US

Shares bruised, dollar crumbles as Trump tariffs stir recession fears

Shares bruised, dollar crumbles as Trump tariffs stir recession fears
Asia|Business|Economy|Political|Stock Markets

Japan's Nikkei tracks Wall Street lower on global recession fears

Japan's Nikkei tracks Wall Street lower on global recession fears
Business|Economy|Finance|Political|Stock Markets|US

Republicans moving ahead with Trump's 'big' bill of tax breaks and spending cuts amid tariff uproar

Republicans moving ahead with Trump's 'big' bill of tax breaks and spending cuts amid tariff uproar

Access this article for free.

Already have an account? Sign In